Russia’s central securities depository, the NSD, and Ingosstrakh OJSIC, a leading Russian insurer, have concluded a complex one-year US65 million insurance agreement.
The main reinsurers behind the policy include Lloyd’s syndicates in the UK specialising in such risk.
The NSD says the policy covers its operations within the framework of the licences it awards to professional securities market participants, including clearing and depository operations.
The policy covers damage inflicted upon the policyholder and third parties (including but not limited to NSD’s clients) caused by third-party wilful activity or by unintentional mistakes and errors made by the policy-holder’s employees and executives while carrying out their professional duties. The policy also covers damage inflicted as a result of electronic and computer crimes, technical errors, computer or telecommunications failures leading to the partial or full loss of information related to client accounts.