ONGC insures offshore installations for FY'09
Oil and Natural Gas Corp has insured its offshore installations at annual gross premium of $29.025 million for 2008-09.
By PTI |
NEW DELHI: Oil and Natural Gas Corp has insured its offshore installations at annual gross premium of $29.025 million for 2008-09.
The premium for the Offshore Package Insurance Policy is almost at the same gross premium as last year despite an overall upward revision of around 32 per cent in the insured asset value -- from $15.89 billion to $21 billion, a company statement said here.
The renewal programme was managed by United India Insurance Company (UIIC), who led the consortium of nationalised insurance companies comprising UIIC, NIAC, OICL and NIC.
ONGC policy is reinsurance driven with a major portion of risk being reinsured in International Reinsurance Market and risk retention in the India Insurance Market being 10-13 per cent. ONGC and UIIC jointly did the marketing of the risk in London Reinsurance Market in mid-March 2008.
UIIC, after following their internal procedures to shortlist the brokers, invited competitive quotes from them.
Risk Survey Report issued by Paris Re, the underwriter for Policy Year 2007-08, in respect of risk survey done by it along with Allianz in 2007 had a positive feedback on ONGC risk.
ONGC's major critical offshore operational assets -- production complexes, well-head platforms, pipelines, trunklines, drilling rigs, multipurpose support vessels, specialised vessels, third party liabilities and operational risks -- are insured under a comprehensive Energy Offshore Package Insurance Policy for a Combined Single Limit (CSL) of $750 million for any one accident/one occurrence.
The premium for the Offshore Package Insurance Policy is almost at the same gross premium as last year despite an overall upward revision of around 32 per cent in the insured asset value -- from $15.89 billion to $21 billion, a company statement said here.
The renewal programme was managed by United India Insurance Company (UIIC), who led the consortium of nationalised insurance companies comprising UIIC, NIAC, OICL and NIC.
ONGC policy is reinsurance driven with a major portion of risk being reinsured in International Reinsurance Market and risk retention in the India Insurance Market being 10-13 per cent. ONGC and UIIC jointly did the marketing of the risk in London Reinsurance Market in mid-March 2008.
UIIC, after following their internal procedures to shortlist the brokers, invited competitive quotes from them.
Risk Survey Report issued by Paris Re, the underwriter for Policy Year 2007-08, in respect of risk survey done by it along with Allianz in 2007 had a positive feedback on ONGC risk.
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This, coupled with effective marketing of risk by UIIC and ONGC team in London, enabled ONGC to get competitive quotes that were were evaluated by UIIC. Benefield/KM Dastur's quote emerged the lowest, the release said. ONGC's major critical offshore operational assets -- production complexes, well-head platforms, pipelines, trunklines, drilling rigs, multipurpose support vessels, specialised vessels, third party liabilities and operational risks -- are insured under a comprehensive Energy Offshore Package Insurance Policy for a Combined Single Limit (CSL) of $750 million for any one accident/one occurrence.
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