‘Natural Disaster for Fly by Nights intermediaries’
Updated: Jan 15, 2019
How Crescent Global’s policy covers were a national blessing
Crescent Global’s top rated reinsurance covers and support, are what could only be termed 'a miraculous blessing bestowed on the country', for maiden National Insurance Schemes rolled out by the Government recently, including a first of its kind in the world, The National Natural Disaster Insurance Scheme for all uninsured Sri Lankans.
The NNDIS initial estimated claim of up to Rs 5.4 B for the flood and disaster in May last year is being settled, in particular in Kegalle, which was the worst effected district, where all claims were settled in full earlier this year.
Crescent Global South Asia, has the most diverse and the most spectacular reinsurance portfolio in the country in terms of National Insured Schemes launched, insured properties, and reinsured projects, and a quick glance would make this fact abundantly clear.
Examples are the Cooperative Insurance policy for the Fisherman, NITF National Natural Disaster cover for up to 10 billion, SRCC and Terrorism Cover top up cover up to 10 B, Combined Retrocession Cessation XOL cover for 30% compulsory ceding of for all general insurance, and Ceylon Petroleum Corporation, by far the largest specialized risk in SL, as reinsured with A rated securities in the international markets by Crescent Group.
The NITF has been in the forefront in launching the National Schemes during the last year. The best example, Hon Minister Niroshan Perera says, is the pro active cover, the insurance provided to all uninsured for natural disasters including a cover for fishermen, and more recently the scheme for paddy farmers. The most recent is the island wide insurance for natural disasters for agricultural farmers for Rs 25,000 per hectare, topped up by a national cover for natural calamities such as flood, inundation, drought and wild elephant attacks, which were all insurance initiatives reinsured in 'A' rated securities.
'Crescent Global's single strength has been that organizations that have been reinsured through its good offices have helped entities such as NITF, Cooperative Insurance and the Petroleum Corp be pro active about disasters, or accidents and losses, and not reactive.
"It's also significant that what Crescent Global has insured is either on the mammoth scale -- the entire country, for natural disasters -- or of mammoth size, such as the biggest properties, of which Petroleum is obviously huge, in terms of the volatility of the commodity insured, and the sheer enormity of the property value indemnified', said Mr. Indrajith Fernando, Director, Crescent Global South Asia.
But it's not the mere pro-activity, but the range as well. Crescent Global's portfolio is marked by its diversity.
Take the national Cooperative Fisheries cover for instance. All fishermen registered under Co-op Fishermen Society are covered for Personal Accident for Rs.l million per person, including funeral expenses, with a hospitalization per day cover. Additionally, this is a 365 day, 24 hour cover, for onshore and offshore eventualities.
'The natural disaster insurance scheme (NNDIS), a first of its kind in the world, applauded by Breton Woods institutes including the World Bank, also insures all fishermen, uninsured households, small and medium-size businesses and industries, and all persons while fishing for personal accident, during natural disasters, with a cover of 10 B. It is a cover to beat all these covers, so to speak,' adds Fernando. This cover includes an Emergency Relief Fund for food and shelter, for up to Rs. 200 million.