Section 36: Paid Up Capital of the Insurer

1) The minimum paid-up capital of the insurer shall be as prescribed by the Nepal Insurance Authority from time to time.

2) Notwithstanding anything mentioned in sub-section (1), on the basis of the financial or capital market of the country, liabilities of the insurer or the financial position of insurers, the Nepal Insurance Authority may give orders to increase the paid-up capital by prescribing a time limit.

3) On receipt of an order pursuant to sub-section (2), the insurers must fulfil the minimum paid-up capital within the time frame set by the Nepal Insurance Authority.

4) The Nepal Insurance Authority may cancel the license of insurers failing to maintain the paid-up capital as per sub-section (1) or (2).

5) Other provisions relating to capital of insurers shall be as prescribed.