Chennai, Feb 15 (UNI) The Kolkata-based non-life insurance major, National Insurance, has designed a unique cover for one of the Navratna Bharat Heavy Elecricials Ltd (BHEL), to provide insurance protection for all its projects in hand under a single policy.
The total sum insured under the cover is approximately billion dollars, spanning 19 projects, which the BHEL currently has in their order books, with a provision to attach more projects, which may be procured during the policy period, a company statement said here today.
The initial premium isestimated at Rs 42 crore.
Industry sources said this type of insurance cover is unique in the Indian insurance industry, which provides uniform coverage and rates for similar projects. The customer is aware of the insurance cost well in advance.
It is understood that this arrangement has resulted in substantial savings in premium outgo for the BHEL, because of the packaged placement, the statement added.
BHEL was negotiating with the industry for the past two years for such type of cover, and National Insurance had won this prestigious business having procured terms from the international market with the support of a reputed reinsurer, it said.
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