Page 7 - The Insurance Times April 2025

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reinsurers. Air India declined to com-
Terrorism insurance premiums likely to fall up to ment.
15% from April 1 "TATA AIG is a proud insurance partner

Companies taking cover against terrorism risk are likely to see premiums of Air India, which has demonstrated
fall up to 15 per cent from April 1, as state-owned reinsurer General Insur- un-wavering commitment to opera-
ance Corporation of India (GIC Re) slashes rates for terrorism risk insurance tional excellence and diligent risk and
pool. safety management. Insurers are gen-
After the withdrawal of reinsurance capacity for terrorism risk by interna- erally inclined to respond positively to
tional reinsurers post the September 11, 2001, terrorist attacks in the US, such clients with strong safety record
the Indian market formed a terrorism risk insurance pool on April 1, 2002. and robust growth trajectories," said
It was administered by GIC Re and all non-life insurance companies in the Deepak Kumar, Senior Executive Vice
country were part of it. President & Head (Reinsurance, Credit
& Aviation Insurance), TATA AIG Gen-
The pool provides insurance support for terrorism risk covered under the
eral Insurance.
property insurance policies, including cover to dwellings and fixed assets in
multiple locations.
Less than 1% bikers in-

Air India finalises fleet in- aviation insurance market, deft nego- volved in crashes wear
tiations, the airline's risk management
surance at $20 billion practices and absence of major claims, helmets
Air India has finalised an insurance sources said. In glaring evidence of how two-
cover of $20 billion for its expanded The $20 billion insurance will cover wheeler crashes have a high share in
fleet, post the Vistara merger, at ex- against damage to aircraft from inci- traumatic brain injury (TBIs) in India,
isting rates. a study at Christian Medical College in
dents, accidents or war. This covers Vellore has revealed that over 70% of
While the sum insured has increased 300plus planes belonging to injuries were due to such accidents and
from $12 billion to $20 billion, the pre- Air India and Air India Express. There less than 1% of patients were wearing
mium outgo will remain unchanged is a separate cover for passenger and
around $30 million. a helmet at the time of crash.
third party liabilities. The results of the study - based on
While globally, aviation insurance pre- Tata AIG is the lead insurer for Air In-
miums are expected to inch up follow- patients admitted to the hospital and
dia, taking a significant portion of risk. carried out over six and a half years
ing a spate of accidents in the past few
Public sector insurance firms and ICICI from March 2013 to Sept 2019 - was
months, Air India managed to secure
Lombard have a smaller share of the published. The report gains significance
good rates.
sum insured. The entire risk has been considering that 77,539 two-wheeler
This is because of overall softness in underwritten by London based occupants died in road crashes, which

The Insurance Times April 2025 7