IC mandates quick insurance payouts for Mindanao quake victims

The Insurance Commission (IC) has ordered all regulated insurance entities to streamline their operations by expediting claim payments and relaxing strict documentation requirements for those hit by the magnitude 7.8 earthquake in Mindanao. The order, issued on Wednesday, June 17, activates specific emergency measures under Circular Letter No. 2025-21 in response to the destructive earthquake that struck Mindanao last week. Under the mandate, all IC-regulated entities (ICREs) must prioritize the processing and approval of claims for damages resulting from the disaster. “All ICREs shall expedite the processing, approval, and payment of claims for damage attributable to said disasters,” the IC said in a statement. To ensure a wider reach, the IC has instructed these firms to extend the deadline for submitting claim notices and other required documentation for a reasonable period to accommodate those affected by the catastrophe. To ensure that financial aid reaches victims quickly, the IC also requires companies to relax internal procedures that may hinder the immediate settlement of claims. Firms are mandated to ensure that all damage assessments are properly recorded and recognized to facilitate fast-tracked payments. Lastly, ICREs are required to collaborate closely with local government units (LGUs) and other agencies involved in relief and rehabilitation to provide necessary assistance to claimants. Insurance Commissioner Reynaldo A. Regalado emphasized that prompt settlement is a “vital means of providing immediate financial assistance” to communities needing to rebuild. He noted that fulfilling these claims without delay is not only a support measure but a regulatory obligation. (Derco Rosal)