National Insurance Company is expected to stay in the black despite the Mumbai floods, which saw the company receive 3,000 claims worth Rs 350 crore (Rs 3.5 billion).
Talking to Business Standard on the sidelines of NIC's tie-up with Indian Overseas Bank to market its mediclaim policies, B Chakrabarthy, chairman and managing director of NIC, said: "We have sufficient re-insurance cover. Reinsurance pacts cover us for any claim of over Rs 10 crore (Rs 100 million) in addition to catastrophe reinsurance which covers us for claims between Rs 15 and Rs 100 crore (Rs 150 million and rs 1 billion)."
In order to expedite the claims settlement for Mumbai, the Insurance Regulatory and Development Authority has made an exception by relaxing the norms.
Irda has raised the limit of losses required to be surveyed by a licensed surveyor from Rs 20,000 to Rs 50,000 for Mumbai floods.