Thailand’s finance ministry closes 2 insurance firms as a end result of Covid-19 claims

After an awesome variety of Covid-19 claims triggered 2 of Thailand’s insurance coverage suppliers to owe billions of baht in compensation, Thailand’s finance minister has revoked the providers’ enterprise licenses. The choice was made effective yesterday.
One provider, Southeast Insurance, owes 13 billion baht in compensation, whereas the other, Thai Insurance, owes 4.6 billion baht. The Secretary-General of the Office of the Insurance Commission says the insurance reserves and capital funding ratio of the 2 corporations are under the legal minimal. He noted the companies now have more liabilities than assets, and have unreasonably delayed compensation payments to their clients. He additionally claimed they’ve didn’t record compensation payments as required.
Pattern -general added that the OIC has been attempting onerous to solve the firms’, however hasn’t been profitable in doing so. He mentioned the revocation of the licenses will have an effect on solely the COVID-19 coverage holders, while other life and non-life insurance insurance policies have been transferred to different providers.
The secretary-general said the OIC and the General Insurance Fund shall be responsible for compensation funds of outstanding claims for the 2 firms. The OIC has arrange advisory centres to obtain complaints and facilitate debt repayment requests.
The OIC will let customers of both corporations bring documentary proof to the commission and file for a declare. After receiving a request, the OIC will pay for claims using reserves from the General Insurance Fund, based on the regulator.
SOURCE: Thai PBS World | Bangkok Post

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