Insurance of civil liability of enterprises – sources of increased danger

Insurance protection of property interests of organizations operating hazardous production facilities, associated with the risk that these organizations cause harm to life, health or property of third parties and the environment as a result of an accident during the operation of a hazardous production facility.

Regulation of the activities of these facilities is carried out in accordance with the Federal Law of July 21, 1997 No. 116-ФЗ “On Industrial Safety of Hazardous Production Facilities”.

Liability insurance of enterprises – sources of increased danger  is the responsibility of the Insured in the manner prescribed by civil law, to compensate damage caused to life, health or property of third parties or the environment as a result of an accident at a hazardous production facility operated by the Insured.

The risk of liability is insured only for the Insured himself and only for the benefit of third parties (beneficiaries).

A hazardous production facility in respect of which an insurance contract is concluded must meet industrial safety requirements, which are confirmed by the policyholder’s submission of documents drawn up in accordance with the requirements of Federal Law No. 116-FZ of July 21, 1997 “On Industrial Safety of Hazardous Production Facilities”.

Insurance case

An insured event is damage to the life, health or property of third parties or the environment as a result of an accident that occurred at an exploitation of a hazardous production facility specified in the insurance contract and confirmed by a relevant court decision.

An accident at a hazardous production facility recognizes:

  • destruction of structures and (or) technical devices used at hazardous production facilities,
  • uncontrolled explosion and (or) release, discharge, spill of hazardous substances that meet the conditions of the Federal Law No. 116-FZ of July 21, 1997 “On the Industrial Safety of Hazardous Production Facilities”, and occurred during the period of validity of a license to operate a hazardous production facility and actions insurance contract.

The definition of the technical characteristics of the accident, its circumstances, causes and consequences is established in accordance with:

  • with the current regulatory documents governing the technical issues of operating a hazardous production facility,
  • an act of technical investigation of the causes of the accident, the conclusions of the federal executive body specially authorized in the field of industrial safety,
  • other specialized expert organizations.

The cost of the policy

The tariff is calculated based on:

  • conditions and production volumes
  • location of hazardous production facility,
  • other factors of its operation, production, use, processing and storage of hazardous substances at the facility in certain amounts,
  • degree of insured risk
  • other conditions of the insurance object

Insurance Exemptions

They are not recognized as an accident and do not give rise to obligations of the Insurer regarding the insurance payment of circumstances arising from:

  • the intent of the Policyholder or beneficiary (the injured third party). However, the Insurer is not exempt from paying insurance indemnity for causing harm to life and health, if the damage was caused through the fault of the person responsible for it;
  • nuclear explosion, radiation, radioactive contamination; 
    military actions, as well as maneuvers or other military activities, actions of armed groups or terrorists;
  • civil war, popular unrest of every kind or strikes;
  • acts of force majeure: natural disasters, natural phenomena of a natural nature;
  • unlawful actions of other persons when the hazardous production facility has left the possession of the Insured as a result of such actions, except for cases when the disposal of the object of possession occurred due to the policyholder’s fault (subject to the provisions of sub-clause a) of this clause);
  • other circumstances not directly related to the operation of the hazardous production facility.

At the same time, acts committed by the Insured’s representative are recognized as acts committed by the Insured, if that representative knew or should have known about the negative consequences of his actions (inaction), in accordance with applicable regulatory and other acts, of operating a hazardous production facility. The presence of representation is determined by the norms of the Civil Code of the Russian Federation.

Not refundable :

  • moral injury;
  • damage caused to persons who are in an employment relationship with the Insured during the performance of their employment duties in accordance with the contract (contract) under the labor legislation of the Russian Federation;
  • damage caused to property that the Insured has on the right of ownership, the right of economic management or the right of operational management or on other legal grounds (on the right of lease, under a storage agreement, by proxy, by order of the relevant body to transfer property to it, etc. );
  • losses of the Insured caused by payment of a penalty (fine, penalty), performance of warranty and similar obligations, failure to perform or improper performance of contractual obligations;
  • losses that are lost profits in accordance with clause 2 of Article 15 of the Civil Code of the Russian Federation.

One thought on “Insurance of civil liability of enterprises – sources of increased danger

Leave a Reply

Your email address will not be published. Required fields are marked *