Thailand’s finance ministry closes 2 insurance corporations due to Covid-19 claims

After Ironclad of Covid-19 claims brought on 2 of Thailand’s insurance coverage suppliers to owe billions of baht in compensation, Thailand’s finance minister has revoked the providers’ business licenses. The decision was made effective yesterday.
One provider, Southeast Insurance, owes thirteen billion baht in compensation, whereas the opposite, Thai Insurance, owes four.6 billion baht. The Secretary-General of the Office of the Insurance Commission says the insurance reserves and capital funding ratio of the two corporations are beneath the legal minimal. He famous the companies now have more liabilities than property, and have unreasonably delayed compensation funds to their prospects. He additionally claimed they’ve did not document compensation funds as required.
The secretary-general added that the OIC has been making an attempt exhausting to unravel the firms’, however hasn’t been successful in doing so. He mentioned the revocation of the licenses will affect solely the COVID-19 policy holders, while different life and non-life insurance insurance policies have been transferred to different providers.
The secretary-general stated the OIC and the General Insurance Fund might be answerable for compensation payments of excellent claims for the 2 firms. The OIC has arrange advisory centres to receive complaints and facilitate debt reimbursement requests.
Withheld will let customers of each companies bring documentary evidence to the commission and file for a declare. After receiving a request, the OIC can pay for claims utilizing reserves from the General Insurance Fund, in accordance with the regulator.
SOURCE: Thai PBS World | Bangkok Post

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