OREANDA-NEWS. June 17, 2010. Ingosstrakh’s branch in the Republic of Tatarstan has provided insurance for the crops, cattle and agricultural equipment of five subsidiaries of the VAMIN Tatarstan agro holding; these are AF Ak Chishma LLC, AF VAMIN Mardjani LLC, AF VAMIN Tyulyachi LLC, AF VAMIN Bua LLC, AF Tatarstan LLC.

The insurance contracts for future crops cover spring grains and winter wheats sowed in the Arsky, Tyulyachensky, Buinsky districts of Tatarstan. The total sum insured is RUR 560 million.

Under the terms and conditions of the insurance contracts insurance indemnification is to be paid in the event that all the crops are lost or less crops are harvested as a result of unanticipated impact of such phenomena as hail (including large hail), atmospheric or ground draught, a combination of large amounts of snow and insufficient freezing of the ground causing winter wheats to decay, low atmospheric temperatures without sufficient amounts of snow or with snow drifts of less than 5 cm in depth, causing winter wheats to freeze, ground frost, ice crust, gale force winds, dust (sand) storms, water logging of the soil, floods, high water, landslide, earthquakes, avalanche. 

Future crops of spring grains are insured against complete destruction or partial loss as a result of the following natural phenomena adversely affecting the agricultural industry: freezing, ground frost, decay, water logging of the soil, torrential rains, dust (sand) storms, hail, spring high water, draught and landslide. The total area of insured crops is 23,799 hectares.

Future crops of winter wheats are insured against complete destruction or partial loss as a result of the following natural phenomena adversely affecting the agricultural industry: freezing, ground frost, decay, water logging of the soil, torrential rains, dust (sand) storms, hail, spring high water, draught and landslide. The total area of insured crops is 5,400 hectares.

Ingorsstrakh’s branch in Tatarstan also insured agricultural equipment (tractors, combine harvesters) for a total amount of RUR 34.2 million. The equipment is insured against fire, lightning strikes, explosion, natural disasters, water damage, illegal acts by third parties (theft, robbery, attack), accident, including road accident, collision with various obstacles, running into stationary or mobile objects (structures, obstacles, animals etc.), rollover, fall (including fall in the water, or going under ice), fall of foreign objects or aircraft on the insured property.

In addition to that, insurance is provided for 1,521 head of cattle (calves, cows, heifers) and 2936 pigs for a total insured sum of RUR 14.3 million. The insured risks include fire, lightning strike, natural gas explosion, natural disasters, infectious and invasive diseases, accidents, felonies perpetrated by third parties, theft with illegal penetration and robbery.

The insured property is pledged as collateral to the subsidiary offices of the Tatarstan regional branchs of Rosselkhozbank in Arsk, Buinsk, Tyulyachi against a loan provided by them.