Insurance companies are expected to face huge claims for vehicles damaged by flood as a result of one of the heaviest rain storms in 80 years to hit Seoul.
The estimated damage to cars amounts to KRW65.86bn ($50.42m) but is expected to increase as torrential rain, which began on 8 August, is forecast to continue through this week, reported The Korea Herald quoting the General Insurance Association of Korea.
Twelve automobile damage insurance companies have received more than 4,791 claims for flooded cars. Around 1,000 of the flooded cars reported were imported cars.
“As the rainfall was concentrated in the Gangnam area, home to a high concentration of expensive cars, insurance companies will face a remarkably large amount of compensation claims,” said an executive of a general insurance company.
Source: asiainsurancereview.com