nuclear-news

India’s nuclear program in trouble about lack of insurance

All property insurance covers exclude losses due to nuclear reaction, nuclear radiation or radioactive contamination.

Irda sounds out insurers on nuclear accident cover The Economic Times 29 Dec 2009, Hema Ramakrishnan & Mayur Shetty, ET Bureau NEW DELHI|MUMBAI: A year after private nuclear plants became a possibility in India following the Indo-US nuclear deal, the insurance regulator is deliberating with companies to cover liabilities arising out of deliberating with companies to cover liabilities arising out of nuclear accidents, which is essential for such plants…

…Currently, nuclear risks are not covered by any policy, as insurers do not have the wherewithal to estimate liabilities. All property insurance covers exclude losses due to nuclear reaction, nuclear radiation or radioactive contamination.
In most countries, operators of nuclear plants buy insurance cover as they are liable to pay compensation for any damage. Normally, the liability is limited by both international conventions and national legislation. The state has the responsibility to accept any liability more than insured.

The absence of such covers here may make it difficult to fund relief, if an accident occurs.
The US, for instance, is not bound by any international nuclear liability convention. The liability from a nuclear accident is addressed by the Price Anderson Act of 1956, which provides $10 billion in cover without cost to the government. It covers power reactors, research reactors and all other nuclear facilities.
Irda sounds out insurers on nuclear accident cover- Insurance news-Insurance-Personal Finance-The Economic Times

December 29, 2009 - Posted by Christina Macpherson | business and costs, India | antinuclear, nuclear, nuclear secrecy