Taj Hotels well insured

04 December 2008

The Indian Hotels Company (IHCL) is faced with the difficult task of renovating the Taj hotel, fairly extensively damaged in the recent terror attacks on Mumbai (See: Mumbai terror toll mounts; army launches final assault)

However, IHCL says the hotel is well insured so the cost of renovating and repairing the iconic hospitality structure will not hit the company in a big way (See: Insurance and terrorism – how much was the Taj insured for?)  The century-old Taj hotel suffered extensive damage in the shootouts between security forces and terrorists that went into last weekend.

''Our company has in place adequate insurance cover. We are working with reputed agencies to sanitize and reopen the hotel,'' the Indian Hotel Company Ltd told the Bombay Stock Exchange a week after the start of terrorist attacks that hit various locations in Mumbai but were concentrated on Hotel Taj and Trident.

Three insurance companies, Tata AIG General Insurance and ICICI Lombard General Insurance and IFFCO Tokio General Insurance are evaluating the damage caused by the attack.

The Victorian style tower wing is expected to be re-opened shortly as it has not suffered significant damage.

IHCL said it had lost 10 employees in the attack while 11 others injured are being treated at hospitals.