ISLAMABAD, Jan 27: Commerce Minister Humayun Akhtar Khan on Friday told the upper house that his ministry was considering a proposal to appoint a Federal Insurance Ombudsman (FIO) to provide easy justice to the clients.

In a written reply to a question raised by Senator Ilyas Ahmad Bilour in the upper house, the minister said that law and justice division had already been requested to forward a panel of suitable persons for the slot of FIO.

The panel for the post had been received from the ministry on Jan 24, 2006, he disclosed.

The minister admitted that the number of individual policy holders decreased during the period from 1995-2003. The number of policyholders decreased to 1.85 million during the year 2003 from 2.035 million in the year 1995.

Giving reasons for decline, the minister said that State Life Insurance Corporation (SLIC) enjoyed monopoly in life insurance business. Later on licences were issued to private insurance companies allowing them to insure in life insurance sector.

He said that the share of SLIC, therefore, was divided between State Life and the other players in the market. He clarified that though the number of policyholders decreased during the period under review yet SLIC had made considerable progress in the volume of business and realisation of the premium during the same period.