Digit Insurance settles fire claim of Rs 137 cr
Major fire outbreak took place at a plant of one of India’s leading chemical manufacturing companies in Gujarat in February this year and also caused injury and loss of life of workers apart from property damage
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Mumbai: Digit Insurance, a unicorn general insurance company, has settled a claim of Rs137 crore against a major fire outbreak that took place at a plant of one of India's leading chemical manufacturing companies in February this year. The insurer said the claim for the fire, which took place at the company's plant in Gujarat, was settled in a span of nine months. A company's spokesperson told Bizz Buzz that Allianz Re and GIC Re are the lead reinsurance companies who have supported it.
Vivek Chaturvedi, Chief Marketing Officer, Digit Insurance, said: "A loss of this degree breaks people's spirits and has a long-lasting impact on the business. The least we could do as an insurer was to minimize the loss and pain by settling the claim at the earliest. Empathy on the insurer's part becomes very important in such circumstances and we are happy that prompt response from our dedicated team helped in settling the claim seamlessly."
The mishap, which took place due to a devastating explosion followed by fire in the early hours of February, 23 also saw injury and loss of life of workers apart from property damage. Considering the magnitude of the loss, Digit released Rs 25 crore to the aggrieved party within 22 days followed by Rs 20 crore on June 14. To speed up the claims process, the insurer formed a dedicated team for expediting the settlement discussions. The remaining Rs 92 crore was released by Digit Insurance on November 30. The claim settlement was led by Go Digit General Insurance and the company's strong reinsurance support helped it settle the claim in a span of only 280 days. For Q2FY22, Digit had a claim settlement ratio of 99.5 per cent for fire insurance. "We are happy to have partnered with Digit. We are thankful to their entire team that helped us in these difficult times and settled our claim expeditiously. This will help us restart our operations smoothly," said the aggrieved company, which bought the Digit Industrial Mega Risk Insurance Policy in July 2020.
