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Crash victims compensated
By Chuan Yu (China Daily)
Updated: 2004-12-09 00:42

Chinese insurers have paid tens of millions of yuan after a China Eastern Airlines airplane crashed last month, the China Insurance Regulatory Commission (CIRC) said yesterday.

The plane crashed on November 21 shortly after it took off from an airport in Baotou, North China's Inner Mongolia Autonomous Region, killing all 54 people aboard.

The PICC Property and Casualty Co Ltd, China's largest non-life insurer, has paid off US$23 million in claims over the loss of the aircraft, and is still processing claims totalling US$1.4 billion in carrier liability insurance contracts.

The company had previously ceded 86 per cent of its total insurance liabilities on the airplane to domestic and foreign reinsurers, and is currently in the process of receiving repayments from reinsurers, the CIRC said.

According to estimates, the China Life Insurance Co Ltd, Ping An Insurance (Group) Company of China and Pacific Insurance Co will pay a combined 13 million yuan (US$1.6 million) to cover life and aviation accident insurance policies. So far, they have paid out 9.8 million yuan (US$1.2 million), the commission said.

Out of the total, China Life is responsible for 10.4 million yuan (US$1.3 million), of which it had paid out 7.6 million yuan (US$915,000).



 
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