Page 8 - Insurance Times April 2023

lease deed to claim insurance, whereas capacity and better rates. "While the
the owner told the department that cargo pool has performed well, the Attention Subscribers
he had not leased out his land at all. ongoing war has exposed other ship-
Please renew your Subscription of The
ments to vulnerability as foreign insur-
Insurance Times Journal to receive
Insurers eye bigger Marine ers are unwilling to take the risk be- copy of the journal uninterruptedly.
cause of the sanctions imposed," said
pool for Russia shipments the official. You can now pay by GPAY, Phonepe,
India's general insurers are looking to Paytm, Amazon, ICICI Pay, BHIM UPI
set up a larger marine insurance pool
Reduce pile up of con-
to cover the risks of transporting crude
oil, edible oil, project machinery and sumer cases, Govt tells in-
fertiliser from the war-torn Russia-
surance firms
Ukraine region. This is expected to fa-
The Consumer Affairs Ministry, at a
cilitate trade as the West ratchets up
meeting with stakeholders in the insur-
sanctions on Russia.
ance sector including the IRDAI,
A senior official said that both the gov-
flagged key concerns to reduce the
ernment and the Insurance Regulatory
number of pending cases at various
and Development Authority of India
consumer commissions.
(IRDAI) are keen to develop more in-
digenous capacity for maritime insur- Some of the issues that were flagged
ance risk. by the Centre included ambiguity in
terms of insurance policies, repudia-
Last year, general insurance companies
tion of health insurance claims due to
led by GIC Re had set up a cargo pool
pre-existing diseases, lack of informa-
for fertilliser imports with a net capac-
tion regarding eligibility conditions for
ity of over Rs. 500 crore. That pool did
not generate any losses, which has insurance policies besides issues re-
encouraged insurers to explore more garding crop insurance.

New India Assurance forays into surety bonds
business
New India Assurance said it entered the surety insurance bonds business, be-
coming the second such domestic insurance company. IRDAI had permitted
Sashi Publications Easy Payment
general insurers to issue surety insurance bonds in April 2022.
Modes :-
Surety bonds are legally enforceable tripartite contracts that guarantee com- i) UPI ID: SASHIBOOKS@KOTAK
pliance, payment and/or performance.
ii) GPAY: 9830171022@okbizaxis
The issuing insurer provides guarantee, for a premium, in case of a default in iii) PAYTM: 9830171022@paytm
execution of a project. It assures one party (obligee) that the entity (princi-
iv) NEFT: Current A/C
pal) responsible for the project or service delivery delivers on the project in a
402120110000327 of 'SASHI
time bound manner by adhering to the prescribed stipulations.
PUBLICATIONS PRIVATE
The principal is also reassured that the surety will assume responsibility for LIMITED, Bank of India, VVK
timely payments. If the principal defaults on the performance, the surety Road Branch., Kolkata, India,
insurance provider pays damages to the obligee.
IFSC Code : BKID0004021
Neerja Kapur, chairman and managing director of New India Assurance Co, v) Credit Card:
said, "Surety bonds will go a long way to revolutionise the dynamics of the www.sashipublications.com
infrastructure industry. Surety bond insurance will act as a security shield for
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well as the principal... our surety bonds will provide much-needed financial
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reassurance to all parties involved in infrastructure projects."
8 April 2023 The Insurance Times