In 2025, Bangladesh’s non-life insurance sector settled claims worth 1,242 crore taka, leaving a substantial 3,599 crore taka of claims pending. This means that only 8.56% of total claims raised during the year were settled, while 91.44% remain unresolved, highlighting ongoing challenges in claims management within the sector.
The figures were revealed in quarterly reports published by the Insurance Development and Regulatory Authority (IDRA), based on data submitted by 46 non-life insurance companies operating across the country.
Between January and December 2025, a total of 1,740 crore 37 lakh taka in new insurance claims were lodged. Adding these to the 3,055 crore 80 lakh taka of unresolved claims carried over from December 2024, the sector faced an accumulated claim burden of 4,795 crore 17 lakh taka.
Of this total, 1,242 crore 25 lakh taka was paid during 2025, reflecting an overall settlement rate of 8.56% across the sector. The quarterly breakdown shows a steady but uneven pattern of disbursement:
| Quarter | Claims Raised (Crore Taka) | Claims Settled (Crore Taka) | Settlement Rate (%) |
|---|---|---|---|
| Q1 (Jan–Mar) | 390.10 | 295.29 | 90.0 |
| Q2 (Apr–Jun) | 392.56 | 300.01 | 8.32 |
| Q3 (Jul–Sep) | 348.80 | 274.76 | 7.55 |
| Q4 (Oct–Dec) | 608.91 | 372.19 | 9.37 |
| Total | 1,740.37 | 1,242.25 | 8.56 |
According to IDRA, the first quarter saw the highest proportional settlement of claims at 90%, primarily due to clearing pending claims from previous years. The subsequent quarters witnessed lower settlement rates: 8.32% in the second quarter, 7.55% in the third, and 9.37% in the final quarter.
Despite a steady inflow of new claims, the sector continues to grapple with a significant backlog, with unresolved claims reaching 3,599 crore taka by the end of 2025. The IDRA has emphasised the need for faster claims processing and improved operational efficiency among non-life insurers to ensure policyholders receive timely compensation.
This persistent gap between claims raised and claims settled raises concerns for policyholder confidence and highlights the critical need for regulatory oversight and reforms in claims management within the non-life insurance sector.