Insurance companies in Egypt are competing to win a bid to insure the Egyptian Steel Group’s factory, sources said. Misr Insurance Company and Arab Misr Insurance Group (AMIG) are of the most prominent companies competing in the bid to provide the insurance policy which has value of more than EGP one billion, sources added.
The insurance policy covers all engineering insurance risks including installation errors of the project’s machines, equipments and production lines. The insurance coverage also includes third party civil liability insurance and coverage against halted work.
The Egyptian Steel Group noted that it waits finalizing the procedures of the EGP 1.07 billion loan it intends to receive to start opening the bid envelopes. The Group asks insurers to submit the rest of the required documents.
Insurance companies wait finalizing the procedures of the loan sought by South Helwan Power Plant to provide it with engineering insurance policy which will covers against all engineering risks of operating the plant as well as the equipments.
Sources told Amwal Al Ghad that the Group’s loan arranger Banque Misr studies the insurance policy conditions to say its opinion about whether it is appropriate or not.
It is worth mentioning that Bank Audi Egypt and Banque Misr arrange a EGP 1.07 billion loan for the Egyptian Steel Group to finance its new factory in Beni Suef. The seven-year term loan grants the Group a grace period of two years and repayment period of five years.
