PM for bringing insurance sector under full digital system

Prime Minister Sheikh Hasina Tiesday said the insurance sector would have to be brought under a complete automation and digitized system to render hassle free services and thus encourage the people about insurance.

"Now, we have made our country digitized ---I Think, the insurance sector must be brought under a full automation and digital system," she said.

She was addressing a function as the chief guest marking the observance of the "National Insurance Day" at the Bangabandhu International Conference Centre (BICC) here, joining virtually from her official Ganabhaban residence in the city.

The Finance Ministry and the Insurance Development and Regulatory Authority (IDRA) jointly organised the function. The day is being observed with the theme "Bimay Surokkito Thakle Agiye Jabo Sobai Mile" (If protected with insurance, we will advance together".

The prime minister said that the masses would be encouraged to do insurance policies if the process of depositing the premium alongside collecting the insurance claim can be made easier using the technology.

She asked all concerned particularly the public and private insurance companies to take effective measures to create awareness among the people about doing insurance policy using the modern technologies.

 "You have to make people understand what benefits they will get if they do insurance policies or what losses they will face in case of not doing the policies," she added.

The premier asked the insurance companies to take proper measures as confidence of the people in insurance would increase through rendering better services giving topmost priority to the clients.

Describing insurance as an amanat (deposit) of the people, she directed the insurance businessmen to handover the insurance claim and other benefits to the clients on time.

She continued: "A system has to be developed as the clients can get their insurance claim in due time without any hassle."

The prime minister instructed the insurance companies to be more alert about false claims of insurance referring to some fire incidents in jute and RMG factories.

Sheikh Hasina called upon all concerned to have a wary eye at fraudulence in the insurance sector terming the third party insurance as an act of cheating. "I have asked to shun third party insurance. Now, it would have to be stopped as it is nothing but an act of fraudulence. I am also a victim of it," she continued.

The premier greeted the insurance companies to introduce the state-of-the- art technology Unified Messaging Platform (UMP) to protect the interest of the customers along with opening "Bangabandhu Surokhya Bima'' policy for differently abled people from this year.

Finance Minister AHM Mustafa Kamal presided over the event virtually while Secretary of Financial Institutions Division, Ministry of Finance, Sheikh Mohammad Salim Ullah gave a welcome address.

Chairman of the IDRA Dr. M. Mosharraf Hossain and Bangladesh Insurance Association (BIA) President Sheikh Kabir Hossain, also spoke on the occasion. On behalf of the prime minister, Sheikh Mohammad Salim Ullah handed over the "Bima Padak" to five persons for their outstanding contribution to the insurance sector and "Bangabandhu Surokhya Bima Policy" to two differently able children.

Former lawmakers and insurance personalities Mokbul Hossain and Mostafizur Rahman have been awarded posthumously with lifetime achievement for their significant contribution to the development of the insurance sector.

Insurance personalities, Sheikh Kabir Hossain and Nasir Uddin Ahmed Chowdhury were awarded for their special roll in the development of the insurance sector while former secretary of the government Nazrul Islam Khan was also awarded for his contribution to make a documentary on insurance sector and Bangabandhu's contribution to development of the sector.  A video documentary on the insurance sector was screened at the ceremony.

The prime minister said measures would have to be taken against the people who are not returning to the country after taking training on insurance abroad on government expenses as all have duties and responsibilities to their homeland.

She called upon the companies to take the insurance concept to the masses by generating innovative ideas aimed at increasing their interest about the insurance.

Sheikh Hasina said that the people, who are using cars, in most of the cases, don't have proper insurance and they carry third party insurance paper and for which they can't claim the losses from the insurance company if any accident occurs.

She also said the businessmen, who are involved in export and import, also have no interest in doing insurance policies as they have to spend some money for the purpose.

"But, they do not get anything when accidents occur," she added.

"So, I would like to call upon (insurance companies) to enhance interest of the masses about the insurance. And for that, the public and private insurance companies will have to work in unison," she said.

The prime minister said after assuming office in 1996 her government had opened different businesses including the insurance for private sectors with a target to generate employment.

Sheikh Hasina said that the Ist March was declared as the "National Insurance Day" as on the day Father of the Nation Bangabandhu Sheikh Mujibur Rahman joined the then Alpha Insurance in 1960.

She said that Bangabandhu conducted his political activities throughout the country in the name of boosting insurance activities at the grassroots by taking the advantage of being an insurance employee as doing politics was banned at that time.

The prime minister said Bangabandhu had formulated the six-point demand at the Alpha Insurance office and Hanif (former Dhaka city Corporation Mayor Mohammad Hanif) pended down the demand, also condemning those who questioned about the formation of the demand.

Considering the importance of the insurance industry in the socio-economic development of the country, Sheikh Hasina said the present government has given due focus on modernization and development of this sector.

She said that her government has been trying to develop the insurance industry since assuming office and enacted a new Insurance Act-2010 in place of the age-old Insurance Act of 1938.

The prime minister said the government has also established an autonomous regulatory body, Insurance Development and Regulatory Authority (IDRA), dissolving the office of the chief controller of insurance and formulated "National Insurance Policy-2014".

She said her government has introduced "Bangabandhu Education Insurance", urging all the people to do the policy to protect the educational life of their children.

Noting that the Bangabandhu government had issued "Bangladesh Insurance (nationalization) Ordinance-1972" for development of the insurance industry by giving due importance, she said, "Being an employee he knew what was required for the development of the sector."

After the Liberation War, Bangabandhu nationalized all the 49 national and international insurance companies as their owners were from the then West Pakistan, she said.

Then, the Father of the Nation formed four insurance corporations after the name of rivers, Surma, Rupsa, Teesta and Karnaphuli by coordinating the nationalized insurance companies to control those, she added.

The premier said Bangabandhu later enacted "Insurance Corporation Act-1973 and formed Jiban Bima Corporation for life insurance and Sadharan Bima Corporation for non-life insurance after disbanding the four corporations and these two are now rendering insurance services to the masses.

Realizing the importance of efficient workforce, she said that the Father of the Nation set up an autonomous body "Bangladesh Insurance Academy" for ensuring proper education and training to the insurance employees for overall development of the industry.

Sheikh Hasina said Bangabandhu has given us the independence of the country, and our target is to transform Bangladesh into a prosperous and developed one as envisioned by him.