The insurance regulatory body intends to develop a safety plan for aviation insurance.

Nepal Insurance Authority has proposed to establish a safety strategy connected to aviation insurance.

Speaking at the 'Aviation Risk Management Conclave' program on Monday in Kathmandu, Authority Chairman Surya Prasad Silwal stated that it has become apparent that a plan for organizing the aviation industry's insurance is needed.

He claims that in terms of insurance regulators, the authority has determined that the establishment of a solid and efficient insurance system is imperative. 

It will help in the future to prepare worldwide standards while advancing aviation safety. He asserts that setting international standards for this will ensure security.

He discussed the various aspects of aviation insurance in that program, as well as the structural and geographic hazards that exist in a nation like Nepal. He also claimed that global pandemic, 'cyber threat', environmental effect, climate change are the primary concerns in the insurance business and serious conversation about risks is important.

Chief Executive Officer (CEO) Chunky Chhetri of Sagarmatha Lumbini Insurance (Salico) stated at the occasion that the aviation industry plays a significant role in the economy and that insurance is essential to its growth. "Nepal's tourism industry has contributed 6.7% of the country's GDP," he declared. Safe flight is the primary cause of this, although insurance firms also play a part.

He added that insurance is important more than just lowering accident rates; it's also about businesses forming long-term partnerships with airlines in order to foster strong branches and dedication.

"This conference is important to make the necessary strategy for aviation risk management," he stated. "It will help to further support the economy of the country by proving that our skies are safe and our aviation test is strong and it will also increase the branch at the international level." During the conference where there was a conceptual discussion on air safety, Dr. Narendra Nateja gave a working paper presentation.

Sagarmatha Lumbini Insurance (Salico) provided insurance coverage for the Air Dynasty helicopter involved in an accident on July 23 in Suryachaur, Nuwakot.

The sources state that the pilot's insurance was worth a hundred thousand dollars, each passenger's insurance was worth twenty thousand US dollars, and the insurance on the helicopter involved in the accident was worth one hundred million rupees. The insurance company should examine the specifics of the damage and honor the claim even if there is damage to the cargo, any materials in the helicopter, or other insurance.

Additionally, the insurance provider need to be held accountable if any third parties are harmed in the helicopter mishap. But the surveyor's survey is the first step toward learning the specifics of the damage to the cargo and other parties. Nonetheless, Sagarmatha Lumbini Insurance had very little responsibility for covering the aforementioned insurance claim. The insurance company's obligation is reduced, and the reinsurance companies are responsible for covering the remaining payment liability.

In this regard, Salico has set up the initiative to encourage the regulator to create more air insurance policies and to provide additional clarification on the subject.