Mumbai : A day after the decision over the relief package for Maharashtra flood-hit districts was deferred for want of clarity over the potential financial burden, the chief minister (CM) held meetings with officials from 11 insurance companies and bankers, asking them settle the claims immediately and give loans at lower rates.CM Uddhav Thackeray asked officials from insurance companies and banks to take a lenient approach towards the flood-affected people. The insurance companies have been asked to release 50% of the cover of traders and citizens immediately. The companies have also been told to complete the procedure and release the insurance claims at the earliest.

Thackeray has also requested Union finance minister NirmalaSitharaman to direct the companies to consider the assessment done by the state revenue authorities for the settlement of the claims. In a letter to Sitharaman, Thackeray said that the flood-affected people from Konkan and western Maharashtra have been waiting for the settlement of the claims against the insurance of their vehicles, shops and houses.

“The insurance companies have agreed to release 50% of the claim amount based on the assessment by the revenue department. However, they will need directives from the Central government to their headquarters and the Insurance Regulatory and Development Authority. The Centre has previously given such directives during the floods in Kerala and Jammu and Kashmir,” the letter stated.

Thackeray also asked banks to extend loans for the working capital at concessional rates to traders who have sustained losses in the floods. Banks have also been asked to give waiver to pay the instalments of their pending loans.

Thackeray, in the letter, has requested Sitharaman for directives to the banks, too. Banks and insurance companies have also been told to make the procedure consumer-friendly while settling the claims or giving loans. They have also been asked not insist on any tedious process and documentation, considering the situation.