Industrial construction is a relatively new risk that is increasingly being insured in Russia. In the second part of a roundtable discussion the finer points of insuring this risk, including the clauses that determine maximum coverage limits, were debated.
The topic of the second session of the roundtable held by Swiss reinsurance intermediary Reunion AG was industrial construction and, specifically, the clauses that determine maximum coverage limits.
The debate was introduced by Igor Prandetsky, a member of the board from Reunion based in Zug, Switzerland, who described the subject as a relatively new, but important, one to the Russian insurance market. He then handed over to Vitaly Valyuk, the head of the industrial insurance department at Russian insurer Sogaz, who outlined the key issues.
Valyuk first sought to draw attention to the increasing use of LEG 3 clauses in the market. This is an exclusion clause originally drafted by the London Engineering Group (LEG), which determines the extent of the maximum coverage of a policy and, often, for how long it is valid.
Russia, Property insurance, Reunion, Emerging markets