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RNIP will participate in the reinsurance of new nuclear power plants in China

Fri, Mar 30, 2012

A meeting of leaders of the Russian and Chinese nuclear insurance pools was held on 26th of March in Beijing; the participants discussed issues of bilateral cooperation. The meeting was attended by Chairman of the Supervisory Board (SB) RNIP, Chairman of the Insurance Group "SOGAZ" Sergei Ivanov, President of the National Association of Insurers of the Nuclear Industry (RANI) Pavel Rudensky, China nuclear Insurance Pool Chairman, President «China Reinsurance (Group) Corporation» Mr. Wu Gaolian, General Manager of the CNIP, Mr. Zuo Huiqiang and others.

The main topic of the negotiations was the issue of expansion of the cooperation between the two organizations in field of the reinsurance of risks of civil liability of operators of nuclear installations. The parties have decided that in 2012 Russian Nuclear Insurance Pool would be included into the contract of the reinsurance of risks of two new power units, located in China, and in the next year - even of three. The pools’ leaders agreed on the need to continue the cooperation of Russian and Chinese surveyors, and agreed to discuss with colleagues from India and South Korea's prospects for the development of reinsurance of nuclear risks - negotiations on this subject is scheduled for June this year.

"China and Russia are among the countries where nuclear energy plays a huge role, so the development of cooperation between our two pools and unification of insurers of nuclear risks is economically advantageous for both countries - said after the meeting the NA Speaker RNIP Sergei Ivanov. - From 2009 RNIP received for reinsurance risks of liability of operators of Chinese NPP worth almost $ 37 million, but our cooperation is not limited only to issues of reinsurance capacities, but also it includes exchange of experiences, participation in joint inspections at nuclear facilities - all this contributes to the reliability and quality insurance protection in this area. "

Cooperation between RNIP and CNIP began in 2007 when an Agreement of Intent was signed. From 2009, Russian and Chinese nuclear insurance pools carry a mutual reinsurance of risks on contracts of liability insurance of Russian and Chinese nuclear power plants.

Chinese nuclear insurance pool was created in 1999. At present it includes 17 companies, including one foreign reinsurer. The aggregate limit of liability pool for operations in the Chinese market is 416 million U.S. dollars. CNIP has bilateral relations with 21 national nuclear insurance pools. To date, China operated 11 units in 6 nuclear power plants, another 12 units under construction.

Russian Nuclear Insurance Pool was created in 1997. Presently, the pool includes 22 companies, eight of which have the highest national rating of A + +. Capacity of the pool (aggregate limit of its own retention pool of each unit and for each insured event) insurance of civil liability for nuclear damage is $ 120 million. Since 2009 RNIP is a member of the International pool system combining nuclear insurance pools of 28 countries.
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