IRDA Welcomes Nuclear Accident Cover

26 December, 2009

As the possibility of private nuclear plants is knocking, following the Indo-US nuclear deal, on India’s door; IRDA is deliberating with companies to cover liabilities arising out of nuclear accidents, which is essential for such plants.

It’s reported as IRDA chairman J Hari Narayan says: “Our discussions on insurance covers for nuclear risks are at a preliminary stage, we need to examine global practices of covering such a liability before taking a final view.”

In India, currently, there is no policy covered on any nuclear, as insurers do not have the wherewithal to estimate liabilities. It’s the property insurance that covers the losses due to nuclear radiation.

However, in other countries, every nuclear plants buy insurance cover as they are liable to pay compensation for any damage.

Now India too, after last year’s Indo-US nuclear treaty, can carry out nuclear trade. But not having the adequate rules for insurance makes the possibility as an obstacle.

Incidentally, Oriental Insurance launched a partial cover for nuclear power plants. But at that time, providing a cover wasn’t easy as the inspection of the site was not possible.

A Lot of Insurance Quotes