Kathmandu, Sept. 14 -- The Insurance Board has asked life insurance companies to implement the standards that the board issued to calculate the bonus amount paid to the insured, which is expected to reduce the time for claims settlement and ensure a higher bonus payout to individuals who have life insurance.

Through enforcing a directive on Tuesday, the sector's regulator has asked the insurers to implement a gross premium method to assess the insured amount while fixing the bonus rate. As of now, the insurance companies, have been calculating the policy rate on their own.

"Gross premium method is the mathematical reserve method to calculate the insured amount which is expected to simplify assessing the bonus amount by insurers," said R...