Floods: Insurance Need to Be More Flexible
3 Avril 2013 - The Défi Media Group
Mauritius has faced torrential rains. But those last Saturday having caused such a rise in the water indicate an exceptional situation.
The human toll is very heavy as well as property damage. Dozens of vehicles have been washed away and in most cases, we speak of "total lost." In such a situation, the insurance companies have their moral duty to be more flexible? To answer this question, the guests of the "Duel" was Kris Lutchmeenaraidoo, president of Insurers of Mauritius and Suttyhudeo Tengur, president of the Association for the Protection of the Environment and Consumers (APEC).
Kris Lutchmeenaraidoo: "Those who are insured third parties are not covered"
> Following the recent rains and the number of damaged vehicles, will you show some flexibility for compensation?
Any vehicle which has suffered damage is covered by an insurance policy, with predetermined for compensation conditions. In principle, all vehicles insured under 'All risks' are covered for damage under this type of weather.
> Most people have third party insurance. Victims will they have to pay an excess?
Those provided to others unfortunately have no coverage for such damage.
> What happens in this case?
Unfortunately, those who have chosen to ensure third party must take responsibility. Third party insurance only covers you for damage involving any other party. The insurance will cover it if you are responsible. If you are responsible for the damage, you will not be compensated.
> Rains Saturday took us by surprise, do not you think that there should be some flexibility in the compensation?
It is a choice of the customer to ensure that the third party or any risk. When it ensures the third party agrees to take some risks.
> Insurance companies therefore compen-niseront according to the contract customers?
In principle, we need to enforce contracts. We will provide the necessary assistance as soon as possible to all those who are covered by their insurance policy.
> So those insured parties are not affected. Only those who are insured all risks will be compensated?
Suttyhudeo Tengur: "Insurance companies should be more flexible"
> In such circumstances, do you think the insurance companies have to show some flexibility you can rest assured all risks or third?
We just have a great time in the country's history. We must act according to the new context. The insurance industry is very profitable. In such a situation, I think that companies should be more flexible.
> The Association of Insurers of Mauritius says it will comply with the terms of the contracts and will do no favors. What do you think?
The person who said this is a person without a heart. Today in business, there is the concept of solidarity. It is for this reason that we have the CSR. Managers must know that they can use some of their profits to help with a special fund. They can also work together with the government to put up a project for the victims.
> Do you think it would be unfair to tell a customer that nothing can be done to help?
This is not only unfair but criminal. When you see the solidarity which takes place in this country, is that managers of insurance companies are unique and do not have a duty vis-à-vis their society, their compatriots and especially their clients? They must show they have a heart and they can assist in exceptional times.