India nuclear insurance pool with 1500 cr capacity formed

General Insurance Corporation of India (GIC Re) and 11 other non-life insurers have formed the India Nuclear Insurance Pool. It will have a capacity of Rs 1,500 crore.

 

New India Assurance will issue the policy and deal with management of cover to the operators and suppliers, on behalf of all direct insurance companies participating in the pool.

 

The policies offered will be a nuclear operators liability  insurance policy and a nuclear suppliers’ special contingency (against right to recourse) insurance policy.

 

A. K. Roy, CMD of GIC Re, said, reinsurance support had come from Nuclear Risk Insurer, London. “Going forward, GIC Re as the pool manager will strive to ensure that this pool develops into a one stop facility for covering all nuclear risks,” he added.

 

This pool will be the 27th such market pool globally. It is expected to address third-party liability insurance to begin with and later expand into property and other hot zone (inside reactor areas) risk. This will cover both operators and suppliers. At present, only cold zones (outside reactor areas) are covered.