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Insurers pay more than 1 bln yuan in weather claims

(Xinhua)
Updated: 2008-02-13 15:54

BEIJING -- Chinese insurance firms had paid out more than one billion yuan (13.88 million US dollars) on claims stemming from the severe wintry weather in south and central China, but millions more may yet be paid, according to insurance regulator.

Insurance companies nationwide have received 799,700 compensation cases, 463,000 cases of them from the worst-hit areas of Hunan, Hubei, Guizhou, Guangxi and Anhui, said the China Insurance Regulatory Commission (CIRC) in a bulletin.

To date, the provinces of Hubei, Hunan, Zhejiang and Guizhou had received 160 million yuan, 145 million, 98 million and 89 million respectively in pay-outs.

CIRC spokesman Zhang Zhongning said he could not give a figure for the total amount claimed, but there was still a wide gap between claims and pay-outs.

Earlier this month, Hunan Province reported claims totaling more than three billion yuan.

"Payments always lag behind claims because insurance companies first have to investigate claims, assess their value and make a decision, but we are going all out to process claims," said Zhang.

More than 855 million yuan of the pay-outs were on property claims and more than 56 million yuan on health and life policies.

The power sector received about 254 million and the farming sector 40 million yuan, said the bulletin.

Last week, the State Council said in a statement that insurers had paid out 49.92 million yuan in agriculture-related claims and another 2.35 million yuan for damaged rural homes.

Insurance firms have also paid out more than 56 million yuan on health and life policies.

The CIRC earlier this month warned insurance firms not to reject, delay or cut pay-outs on weather-related claims.



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