In a bid to restore confidence of foreign travelers, the Personal Accident (PA) cover of the Strike, Riot, Civil Commotion and Terrorism Fund (SRCC & T Fund) will be extended to riot and terrorism risks for inbound tourists, National Insurance Trust Fund (NITF) Board Chairman Manjula de Silva said.
He said the Sri Lanka state-owned re-insurer‘s move was in response to requests from the travel and insurance industries. The SRCC and terrorism cover will be available up to Rs. 100 million per person under currently applicable premium rates.
It will provide cover in the event of death or total permanent disability as a consequence of a riot or terrorism act during their stay in Sri Lanka . “This cover can be obtained from any licensed general insurance company as an extension to any other travel, medical or PA policy that is purchased from the said insurance company,” de Silva said.
SRCC and T Fund is managed by the state-owned National Insurance Trust Fund (NITF) in collaboration with the insurance industry. The premium will depend on the insured value and the period of stay subject to a minimum premium of Rs. 1,500.
The demand for SRCC & T insurance in the country surged suddenly after the April 21 bombings that snuffed out over 250 lives. Insurance sector representatives said there has been a rapid increase in requests for ‘add-ons’ for this cover especially from the corporate sector.
Companies want to add the terrorism cover to their existing insurance covers. Sri Lanka Insurance setting a new standard for the travel insurance market re-launched the ‘Travel Protect’ insurance policy to enable travellers to obtain travel insurance without a medical certificate up to 80 years of age.
Meanwhile, the government extended a raft of measures including tax concessions and a moratorium for loans obtained by sectors affected by the attacks from April this year to April next year. The 14 registered insurance companies provide SRCC & TC on behalf of National Insurance Trust Fund.
The SRCC & TF was set up in 1987 to provide reinsurance cover for strike, riot, civil commotion and terrorism activities within the country.
(LI)