OREANDA-NEWS. March 23, 2011. Oranta successfully completed the procedure of concluding the reinsurance programs in all insurance portfolios. The resumption of the reinsurance programs has been conducted on the terms of the previous year, and for some of the contracts the conditions were improved.

New in the program of the property risk reinsurance in 2011, compared to the previous period is an additional condition whereby the limit of the reinsurance contract may include the objects with the sum insured up to USD 40 million. The treaty applies to all insured real estate including: residential and commercial houses, social facilities, goods in warehouses, buildings and industrial buildings, industrial plants, power plants, machinery and equipment. It also includes the risks of damage from a break in the production cycle and the civil responsibility for the maintenance and operation of the production facilities, construction equipment, as well as the civil liability of contractors and subcontractors to the third parties.

In addition to the above major program of reinsurance, to protect its property portfolio Oranta mandatory enters into a reinsurance contract against the catastrophic risks on a yearly basis. The limit of this contract for 2011 is USD 5 million. The reinsurers under this agreement are the largest reinsurance companies with the international financial strength rating no lower than A.

The program of cargo and liability reinsurance of the ship owners, the freight forwarders and truckers, including all their shipping and transport of substances by oil and gas pipelines, has been resumed with a limit of USD 5 million for each unit of transportation. The Agreement does not separate limits for any of the risks or transported property, the cargo insurance program covers the war and strike risks, including ground transportation. The coverage area is the whole world, subject to the insurable interest of Ukraine. The leading reinsurer in this program is Lloyd's syndicates.

The Program of the water transport and responsibilities insurance, includes the reinsurance of shipowners’ liability under the provisions of the International Convention on Civil Liability for damages from the Bunker Oil Pollution as of 2001 (the Bunker Convention) is renewed with the limits on the risks of shipownes’ liability amounting to USD 5 million for each unit at risk; the risk insurance of ships of every type and the auxiliary port facilities, as well as the yachts is USD 3 million. The Reinsurers of the program are Hanover Reinsurance Company, SCOR (France) and Polish Reinsurance Company.

Traditionally, to protect the portfolio of the agricultural risks, Oranta applies a reinsurance program covering all types of crops from both summer and winter risks.