The Saurya Airlines aircraft that crashed while en route to Pokhara for a regular C-Check crashed at Tribhuvan International Airport (TIA) seconds after its takeoff. The aircraft, a Bombardier CRJ 200, was insured by Prabhu Insurance for Rs 300 million.
The aircraft, purchased by Saurya Airlines for Rs 300 million, was covered by Prabhu Insurance. Following the crash, Prabhu Insurance is responsible for paying compensation up to Rs 300 million.
However, since the aircraft’s reinsurance is with a British company, Prabhu Insurance will only cover a small fraction of this amount.
Specifically, Prabhu Insurance will be liable for only 0.3 percent of the total liability, which amounts to Rs 900,000. The remaining 99.7 percent of the liability will be covered by the foreign reinsurance company.
Similarly, the families of the deceased passengers are insured for $20,000 per person. At Wednesday’s exchange rate, this amounts to Rs 2,684,200 per passenger.
