Country's only re-insurer General Insurance Corporation
(GIC Re) and the four public sector general insurers- New India Assurance,
Oriental Insurance, National Insurance and United India Insurance are
considering for setting up country's first nuclear insurance pool.
As per the sources, the PSU insurers recently discussed with GIC Re officials on matters related to contributions from them. Discussion on the possibilities of forming the pool, which will cover the liabilities in case of a nuclear disaster, had been stuck as no agreement was reached on plant inspections, but this issue is now being discussed.
The need of insurance cover for liabilities in case of a nuclear disaster has gained prominence internationally especially after the incident of Fukushima in Japan. The need of setting up a pool also arises because an individual insurer does not have the capacity to insure all the reactors in view of the high cost. Under the nuclear civil liability law, compensation of up to Rs. 1,500 cr will have to be paid in case of a mishap involving a nuclear plant.
Currently, nuclear reactors in India only have insurance cover for zones that are outside the area of radiation and reactors.
As per the sources, the PSU insurers recently discussed with GIC Re officials on matters related to contributions from them. Discussion on the possibilities of forming the pool, which will cover the liabilities in case of a nuclear disaster, had been stuck as no agreement was reached on plant inspections, but this issue is now being discussed.
The need of insurance cover for liabilities in case of a nuclear disaster has gained prominence internationally especially after the incident of Fukushima in Japan. The need of setting up a pool also arises because an individual insurer does not have the capacity to insure all the reactors in view of the high cost. Under the nuclear civil liability law, compensation of up to Rs. 1,500 cr will have to be paid in case of a mishap involving a nuclear plant.
Currently, nuclear reactors in India only have insurance cover for zones that are outside the area of radiation and reactors.
source: http://www.insuringindia.com
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