PTTGC's insurance coverage exceeds $2bn
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PTT Global Chemical unveiled further details on its insurance policies, which will help it cope with losses and expenses related to the oil spill in the Gulf of Thailand.
In the filing to the Stock Exchange of Thailand, the company said that it has three insurance policies with Dhipaya Insurance, with combined coverage of over US$2 billion.
1. Property Damage/Machinery Breakdown & Business Interruption
- Sum insured of property damage/machinery breakdown US$2,400 million (deductible US$2.5 million any one occurrence).
- PTTGC expect that parts and repair cost will be minimal and below the deductible.
2. Marine Cargo
- Maximum limit per shipment US$330 million for crude oil (deductible 0.5% in respect of claims for crude value in shipment.
- PTTGC is currently investigating with the loss adjuster to appraise crude loss value
3. Third Party Liability
- Limit of liability US$50 million (deductible US$10,000 any one occurrence).
- Cleanup expense will fall under this section under Pollution Liability
It said that the insurance company in the process of investigating the damage occurred and will appraise to determine the claim value according to the insured contract.
"The company will continue to clean up, mitigate, and restore the environment in the most efficient way to bring environment back to nature. In this regard, all
related parties can monitor and update the situation at our specific website at http://www.pttgc-oilspill.com or the company's website at http://www.pttgcgroup.com," it said.
