Air India Crash: Insurers Tackle Complex Claims Amid Tragedy

The catastrophic crash of Air India 171, which claimed 270 lives, has left insurance companies grappling with unprecedented complexities in settling claims, where many designated nominees also died. This has intensified the ordeal for bereaved families already stricken with grief.

To address these challenges, the Insurance Regulatory and Development Authority of India (IRDAI) issued a directive to fast-track the claims. The directive, initiated on June 14, mandates weekly updates from insurers and the establishment of nodal officers to waive certain formalities, such as FIRs and postmortem reports.

In navigating these exceptional circumstances, major insurers like LIC, New India Assurance, and HDFC Life are actively coordinating with affected families, matching records, and seeking joint declarations from heirs to streamline claims. Despite some progress, the process remains intricate in instances where both policyholders and nominees perished.

(With inputs from agencies.)