AirAsia QZ8501 crash insurance to be paid out

[webfact]

AirAsia crash insurance to be paid out



JAKARTA: -- Insurance firms covering AirAsia flight QZ8501 are still obligated to pay out insurance claims for flight passengers in spite of permit lapses, Indonesia’s financial regulator has said, The Jakarta Globe reported.

“Based on what I’ve read, there is nothing in the insurance policies that said the change of schedule or the lack of permit of AirAsia Flight QZ8501 excludes insurers from paying for the claims,” said Firdaus Djaelani, a commissioner at the Financial Services Authority (OJK) overseeing non-banking financial institutions, during a press conference in Jakarta on Tuesday.

Firdaus was addressing speculation surrounding Flight QZ8501, which crashed in to the Java Sea en route to Singapore from Surabaya on Dec 28, in particular AirAsia’s lack of a permit to fly that route on a Sunday, which might void insurance claims.

During the investigation of the crash, authorities had discovered that Indonesia AirAsia, the local affiliate of Malaysian low-cost carrier AirAsia, only had a license to fly the route on Mondays, Tuesdays, Thursdays and Saturdays.

The flight took off on a Sunday.

According to a Reuters report, Singapore’s civil aviation authorities said the AirAsia flight was authorized to fly on that day and AirAsia officials have said they are fully cooperating with any investigation from the authorities.

“The cause [of the accident] is still under investigation […] Still, the probable cause of the crash isn’t the permit, but because of the bad weather or damaged engine. This means that it’s still claimable,” Firdaus said.

Source: http://englishnews.thaipbs.or.th/airasia-crash-insurance-paid


-- Thai PBS 2015-01-07

[Costas2008]

Good to see that the insurance will be paid.

But no money in this world can compensate the grief of their relatives.

May all the people that lost their lives Rest in Peace.

[ezzra]

That will be one claim the insurance company will not be able to wiggle/Wissler out off.....

[laocowboy2]

That will be one claim the insurance company will not be able to wiggle/Wissler out off.....

But by very publically trying to, they have done themselves major reputational damage. Who would buy a policy from them now?

[LawrenceChee]

Air Asia and Tony so far have done everything in the right light to handle the tragedy in a compassionate, speedy and professional manner

Won't be long before they bounce back stronger

[csabo]

That "rest in peace" line is so dismissive. I am sure I am the only one offended by it, but if I plummeted to the earth in a jet and died in a twisted mass of metal and human remains, the last thing I would want to think is that someone who didn't know me would throw a "rest in peace" on the internet on my behalf before going back to his beer. These people are dead, not resting. And if they were resting, it would not be "in peace" but "in pieces".

[watcharacters]

That "rest in peace" line is so dismissive. I am sure I am the only one offended by it, but if I plummeted to the earth in a jet and died in a twisted mass of metal and human remains, the last thing I would want to think is that someone who didn't know me would throw a "rest in peace" on the internet on my behalf before going back to his beer. These people are dead, not resting. And if they were resting, it would not be "in peace" but "in pieces".

It's really just a mindless TV member reply. I doubt they mean any harm.

[csabo]

That "rest in peace" line is so dismissive. I am sure I am the only one offended by it, but if I plummeted to the earth in a jet and died in a twisted mass of metal and human remains, the last thing I would want to think is that someone who didn't know me would throw a "rest in peace" on the internet on my behalf before going back to his beer. These people are dead, not resting. And if they were resting, it would not be "in peace" but "in pieces".

It's really just a mindless TV member reply. I doubt they mean any harm.

I agree, if anything their heart is in the right place. I am not saying otherwise with regards to intent. It just seems like it's becoming a requirement to throw in your "RIP" as if your meager blessing in some way makes it ok that the deceased is moving on to an alleged better state of being. I say let the grieving grieve and keep your vapid sentiments to yourself.

[Basil B]

Priority is compensate 3rd parties, i.e. the families of passengers and crew this should always be covered what ever the circumstances...

whether they pay Air Asia is less important.

[Showbags]

That "rest in peace" line is so dismissive. I am sure I am the only one offended by it, but if I plummeted to the earth in a jet and died in a twisted mass of metal and human remains, the last thing I would want to think is that someone who didn't know me would throw a "rest in peace" on the internet on my behalf before going back to his beer. These people are dead, not resting. And if they were resting, it would not be "in peace" but "in pieces".

i agree...all of these rip comments from absolute strangers to absolute strangers....

It's really just a mindless TV member reply. I doubt they mean any harm.

I agree, if anything their heart is in the right place. I am not saying otherwise with regards to intent. It just seems like it's becoming a requirement to throw in your "RIP" as if your meager blessing in some way makes it ok that the deceased is moving on to an alleged better state of being. I say let the grieving grieve and keep your vapid sentiments to yourself.

[F430murci]

That will be one claim the insurance company will not be able to wiggle/Wissler out off.....

But by very publically trying to, they have done themselves major reputational damage. Who would buy a policy from them now?

Lol, you clearly don't understand insurance. The same companies that purchased it before.

First, some finance minister guy providing his interpretation of policy coverage does not mean squat.

The speculation about coverage appears to be more of an Internet rumor question that an official position by the insurance company so why blame the insurance company.

I think I was the first on here to address the insurance coverage issue and raise the permit issue. At that time, I clearly stated that the issue would be controlled by policy language with which we did not have access.

[F430murci]

I doubt insurance company is too panicky about coverage here at this point.

Indonesia still adheres to the 1929 Warsaw Convention limiting liability to around $ 8,500. Progressive huh.

Malaysia and Singapore signed into the Montreal Convention providing liability limits of $ 170,000 per person.

Seems like Air Asia and Fernandez have pointed out for good reason that Air Asia 8501 was operated PT Indonesia even though based in Malaysia.

Let's wait and see if Air Asia/Fernandez hides behind the pitiful 1929 Warsaw Convention still adhered to by Indonesia limiting liability at a whopping $ 8,500 per person. My guess is they will threaten that to survivors and pay some wherein in between the $ 170,000 cap provided by Montreal and the $ 8,500 cap provided by Warsaw.

[tolsti]

Husshhhh, be silent children.... can you hear it?...... Its the sound of class action lawyers sharpening their pencils...

[LawrenceChee]

They have already offered an initial compensation of $24,000 to families pending the insurance claims and I think it's decent start and a good gesture of things to come

[ricklev]

If Air Asia's insurance system works anything like their refund system folks are going to be waiting a long time and some will randomly never receive their payment. With all due respect........

Edited January 7, 2015 by ricklev

[thailandusauk]

Does the rate is the same worldwide ? or low cost insurance pay low cost to victims ?

how much ?

[LawrenceChee]

Does the rate is the same worldwide ? or low cost insurance pay low cost to victims ?

how much ?

It's dependent on the policy that they bought ....all initial indications is that the final payout may be 130,000 although the initial payout to help families is 30,000

[daveAustin]

I say let the grieving grieve and keep your vapid sentiments to yourself.

I wouldn't say vapid, more cringe-worthy.