Tehran, Iran, Jan. 8
By Kamyar Eghbal – Trend:
Alborz Insurance, an Iranian private insurer, has estimated that its maximum liability for a recent oil Tanker incident would stand at about $6.4 million.
Ahmad Safarzadeh, the deputy head for technical issues at Alborz Insurance Company, has said that the oil tanker has been completely destroyed and the company's maximum commitment is $6.4 million, the company said in a statement via its official website.
The Iranian oil tanker carrying gas condensate collided with a Chinese cargo ship and exploded in the eastern coasts of China on Jan.7.
According to the official announcements, Alborz Company is responsible for the 20 percent of the insurance coverage of the tanker and Mellat, another Iranian insurance company, will cover 10 percent of the loss, the rest will be covered through foreign contracts.
Iranian officials earlier estimated the value of the ship at $32 million but the cargo of the tanker is valued at $60 million which is covered by P&I club.
If assuming that the total $32 million capital of the ship has been destroyed, 20 percent of that amount would be about $6.4 million dollars which is under coverage of Alborz Insurance, the official added.
Safarzadeh explained that from the loss of $6.4 million, 15 percent of compulsory reinsurance was with central insurance of Iran, and 7 percent of it was for Alborz insurance, 14 percent of that figure was paid to domestic reinsurance companies (Amin and Iran's insurance companies) and the rest was insured by foreign companies.
Safarzadeh also said that Alborz insurance will pay 100 million toman (about $27,700) in the framework of life and incident insurance contract with National Iranian Tanker Company (NITC) for each member of the ship crew who lost their lives in the incident.