Insurance Act, 2049 (1992)
Section 27
Insurance Premium To Be Paid Before Holding The Risk
No Insurer shall hold the insurance risk of any category of Insurance Business until it receives the
premium of the Insurance to be obtained by it. It shall be deemed that the Insurer has undertaken the Insurance Business only after receiving the Insurance premium by it for holding the risk.
Provided that, if any practical difficulty arises due to any reason for paying the amount in a lump sum, this Section shall not be deemed to be prohibited to issue
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ā†’ Amended by 2 st Amendment
an Insurance Policy on the guarantee of a bank or the Nepal Government relating to the payment of the outstanding amount within a specified period.
Insurance Act, 2049 (1992)
Chapter - 4
Section 10: Registration Of The InsurerSection 11: Renewal Of Registration Of The InsurerSection 11A: Circumstance On Which Certificate Of Registration Of The Insurer Cannot BerenewedSection 12: Not To Be RegisteredSection 12A: A Ban May Be Imposed On The Insurance BusinessSection 13: Registration Of An Insurer May Be CanceledSection 14: Loan, Guarantee And Security Not To Be Provided To The DirectorsSection 15: Notice To Be ProvidedSection 16: Payment Of Insurance Claims After The Cancellation Of The InsurerSection 17: Insurer Shall Be ResponsibleSection 18: Appointment Of LiquidatorSection 19: Accounts And Records Of The InsurerSection 20: Separate Accounts To Be MaintainedSection 21: Insurance FundSection 22: Compulsory Reserve FundSection 23: The Balance-sheet To Be SubmittedSection 24: Account Of Income To Be SubmittedSection 25: AuditSection 26: Valuation To Be Made By An ActuarySection 27: Insurance Premium To Be Paid Before Holding The RiskSection 28: Re-insurance To Be MadeSection 29: Legal Representative To Be Appointed