WASHINGTON: Shanghai will rope in commercial insurance firms to enhance port safety as part of the city’s goal to build itself into an international financial and shipping center, government officials told a forum yesterday.
Companies will have to take greater responsibilities in operational safety and environment protection, and the port manager will take greater joint liabilities in case of accidents, said Shu Gaoyong, deputy director with the Shanghai branch of the China Insurance Regulatory Commission. The regulator will ensure critical disaster insurance coverage for port accidents and encourage liabilities insurance coverage to ensure risk prevention and compensation, Shu said.
Disaster insurance became a much-talked topic after an explosion in Tianjin Port last year killed at least 165 people and caused economic losses of 6.87 billion yuan (US$1.1 billion). Experts from Zurich General Insurance Co (China) yesterday outlined accident, natural disaster, pollution, vessel, third-party equipment and storage as major property and liability risks challenging the safety of ports including Shanghai. Zhang Lin, deputy head of the Transport Commission of Shanghai, said ports in Shanghai handled more than 500 million tons of dangerous materials last year, an annual increase of 13.5 percent.
