Insurance companies confirmed to the EFSA their readiness to reimburse storm damages
On January 14, the EFSA held a meeting dedicated to the reimbursement of losses due to the natural disaster a week ago. Leaders of all Estonian non-life insurance companies participated in the meeting.
Throughout the meeting, the insurance companies stressed their readiness to reimburse all losses due to the storm. The companies will review all submitted claims and try to find satisfactory solutions for their clients. To assess all storm damages as fast as possible, the companies are using extra help.
The insurance agencies have already started paying the first claims which will continue at a faster pace. According to initial estimates, reimbursable damages reach to 150 million kroons whereas this amount may increase. The consensus of the meeting was that victims without insurance may be in a much more problematic situation. Currently, less than 1/3 of Estonian households have insurance coverage.
"Today, I feel positively about the attitude insurance companies have about loss adjustment and believe that they will not split hairs in interpreting insurance contracts. It is a reliability issue of the insurance market and the EFSA is paying very close attention to it. At the same time, I am really worried about those households that were not insured," Chairman of the EFSA Management Board Andres Trink commented.
Issues such as harmonization of terminology for typical terms used by insurance companies and the possibilities to increase the comprehensibility of insurance contracts were also discussed at the meeting. The insurance companies agreed on the need to harmonize terminology and made plans for future actions.
The participants also discussed how to offer people better insurance coverage against natural disasters in the future and the role government plays in it.
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