×
Home Companies Industry Politics Money Opinion LoungeMultimedia Science Education Sports TechnologyConsumerSpecialsMint on Sunday
×

Oriental to pay for match cancellation

Oriental to pay for match cancellation
Comment E-mail Print Share
First Published: Wed, Nov 11 2009. 10 22 PM IST
Updated: Wed, Nov 11 2009. 10 22 PM IST
New Delhi: State-owned Oriental Insurance Co. Ltd will be paying Mumbai Cricket Association, or MCA, for the cancellation of the 7th one-day international cricket match between India and Australia at DY Patil Sports Academy grounds.
The match was called off due to incessant rains as a result of cyclone Phyan but MCA had insured the match against any loss of revenue arising out of cancellation. The cancellation could have been due to natural perils like earthquakes, lightning, storms and floods. Additionally the policy also covered terrorist attacks, airline strikes, death of a national leader, and failure of floodlights.
“This cricket match was insured for Rs6 crore for MCA. Since it is a “one ball bowled” policy, we are liable to pay the claims. However, although the sum insured is Rs6 crore, the amount that we pay up would depend upon the assessment of damage done,” said Reena Bhatnagar, deputy general manager, Mumbai region, Oriental Insurance.
“One ball bowled” policies refer to insurance policies that cover the risk of cancellation of the match till the time a ball is played. Once a ball is played the cover ceases to exist.
The policy covers any revenue loss to MCA on account of refunding the match tickets and in-stadia advertising. Additionally it also covers expenses incurred by MCA to host the match. MCA had also bought a public liability cover of Rs2 crore.
“Since it was a one-day, it can’t be rescheduled. Most probably we will be refunding the tickets of the match. However, whether we would be refunding tickets and paying up the advertisers, the management board has to take a decision. We would be lodging the insurance claim shortly,” said Ratnakar Shetty, treasurer, MCA.
Oriental hopes to settle the claims within 15-20 days from the receipt of all documents by the surveyor. “After MCA lodges a claim with us, we will appoint a surveyor who will go through the extent of losses that was specified in the policy. Once the surveyor gives us an estimate we will move the documents to the head office in Delhi. It shouldn’t take much time after that since it is a fairly simple case,” said Bhatnagar.
deepti.b@livemint.com
Comment E-mail Print Share
First Published: Wed, Nov 11 2009. 10 22 PM IST