OREANDA-NEWS. June 17, 2008. OJSC “Transsiberian reinsurance corporation” has paid “Korea National Insurance Corporation” 324 385 euro as the second part of reinsurance compensation on the fact of farmland flooding. Payment is made within the limits of operating between “Transsiberian Re” and “Korea National Insurance Corporation” contracts of obligatory reinsurance of agricultural risks.

Insurance case took place on August 7-14, 2007. Heavy rains that have passed over most territory of the Korean People Democratic Republic, led to the inundation of vast fields of crops. According to officials of the Republic, abnormal rains have caused one of the worst floods for the past 40 years. Thousands of local residents became the victims of nature. The given incident has been recognized as an insurance case.

The share of “Transsiberian Re” responsibility under the obligatory contract is established at a rate of 1 % over priority of cedent. After receiving of a full package of documents under the loss “Transsiberian Re” has made the decision to pay the second part of the reinsurance compensation of their share of 324 385 euro.

The total sum of the loss, including charges on settlement, has reached 463 407 euro (including the first payment made in February 2008).