On 22 October, the 2020 annual meeting of the China Nuclear Insurance Pool (“CNIP”) was held in Fuzhou, at which the key tasks of CNIP throughout the year were summarized and the direction of future development was discussed. More than 60 representatives from 29 members of CBIRC and CNIP attended the meeting.
At the annual meeting, Yuan Linjiang, chairman of CNIP and chairman of China Re Group, pointed out that the unexpected outbreak of COVID-19 states clearly that good risk management and risk resilience are of great significance. Nuclear industry, as a fundamental area of national key development, is undergoing a crucial period of safe and efficient development. In the face of the volatile and very complicated global landscape, CNIP and the nuclear insurance industry must maintain the high level of national energy security and nuclear security while remaining true to their original aspiration, and actively support the “double circulation”. With the mission of building itself into the benchmark insurance community, China Re Group will endeavor to improve the governance structure and management mechanism of the community, while continuing to enhance the global influence of China’s nuclear insurance to actively support the building of a community of shared future for mankind.
In addition to carrying out the comprehensive upgrade of the “Nuclear Damage Emergency Response Platform Version 2.0”, CNIP considered and approved the “Nuclear Insurance Emergency and Compensation Plan of China Nuclear Insurance Pool” at the annual meeting. The plan sets out the requirements for the emergency response and compensation of CNIP’s nuclear insurance in terms of organizational system, response method, resource protection and training programs. This marks another measure of CNIP to effectively manage the risk of nuclear insurance catastrophe and improve the emergency framework for nuclear insurance accidents, creating conditions for the comprehensive integration into the national nuclear emergency system.
Nuclear power is a typical “centenary project”. The construction of catastrophe risk management system is related to national governance, national economy and people’s livelihood. CNIP has unswervingly incorporated risk management into the framework of national financial security and nuclear security for research and marketing, strengthened the risk prevention capability in terms of governance mechanism, conducted ex-ante risk management in work practice, and adhered to the bottom line of no systematic risks. In the face of the changes and the global pandemic unseen in a century, all members of CNIP will work more closely together to further improve its political position. Guided by the CBIRC, all members of CNIP will take the bold initiative to ensure the high-quality development of the nuclear industry while serving the real economy so as to make greater contributions to the economic and social development of China.
Currently, CNIP underwrites nuclear life insurance for all nuclear power generating units in operation in China, and provides nuclear insurance coverage for other nuclear fuel cycle facilities and nuclear activities. Currently, the nuclear property and third-party liability cover is valued at RMB900 billion. At the same time, CNIP provides more than 20,000 front-line employees in the nuclear industry with work safety coverage totaled more than ten billion yuan, which helps solve the menace faced by the high-tech groups of nuclear power in China.
In particular, on September 4 this year, the nuclear life insurance policy issued by CNIP for Hualong One, being the first reactor of third generation nuclear power project possessing independent intellectual property rights in China, officially took effect. Serving the world’s first reactor, Hualong One is a landmark project of CNIP in taking into account the political development and driving the independent innovation of national science and technology and manufacturing of high-end equipment. This is the first reactor of the third new advanced nuclear power technology underwritten by CNIP following the AP1000 nuclear power technology and the EPR nuclear power technology. In the global insurance market, CNIP is the most experienced insurer in underwriting the third generation new nuclear power generating units.
In the first half of 2020, despite the impact of the COVID-19 pandemic, the nuclear power industry fully capitalized on the advantages of 24/7 stable power supply, and the percentage of nuclear power generation set another record high, which was conducive to resumption of work and production as well as economic and social development. CNIP provided sound insurance protection and risk management services for the operation of nuclear power industry, deeply explored the risk protection needs of the nuclear industry, introduced innovative service models, engaged in technical research and continuously implemented various measures for nuclear insurance to serve the real economy.
CNIP will, while fully capitalizing the advantages of mechanism, professional strengths and external advantages, continue to strongly support the innovative development of nuclear power in China, and provide nuclear industry with globally competitive coverage level and insurance conditions, to safeguard the insurance interests of the national nuclear industry in China.