“Zaporozhstal” Steel Works under conditions of emergency circumstances took measures on securing of business continuity and insured against losses in operational downtime. This deal is the final stage in making up of insurance coverage for the next year.
Package program of Steel Works’ insurance includes the insurance against loss in business interruption, property insurance, third party liability insurance, insurance against construction and assembly risks and medical insurance. “Zaporozhstal” Steel Works’ insurance portfolio is made and balanced in such a way, that neither insured event and its consequences, for example, business interruption and losses connected with it or loss of property would exert significant negative impact on Steel Works operation and its financial status.
Break in normal rhythm of work of industrial enterprise may have negative consequences for profitability and image of the company. That is why, “Zaporozhstal” Steel Works among other industrial enterprises of Metinvest Group was linked to the program of Global insurance of property and losses against business interruption. This program includes the insurance against the property damage and insurance against business interruption on the basis of coverage “Against all risks”, it means, any loss is originally insured.
“Such principle of insurance secures the steady operation of enterprise and corresponds to the present day practice. We carry out work on risk minimization in a consistent manner. Taking into account this insurance program, the Steel Works has maximum protection against potential undesired events and their after effects”, – pointed out Ruslan Bozhko, Chief Financial Officer of ”Zaporozhstal” Steel Works.
The main part of risk is placed at the international market of Re-insurance, what suggests distribution of liability between the insurance company and Re-insurance agencies, their joint participation in settlement of losses. In re-insurance work, primary attention should be given to selection of reliable re-insurance companies and searching for most acceptable and profitable coverage conditions. The key factors for re-insurance companies selection were the ability timely and in full scope to fulfill undertaken obligations, financial stability and paying capacity, and also high credit rating according to indices of international rating agencies. Thus, international communities of CIS countries and Europe, who are on the list of largest re-insurance companies, became the partners in the field of re-insurance.