In a joint statement on Monday, the South African Special Risk Insurance Association (SASRIA) and the Ministry of Finance announced that they have to date paid out R5.8 billion (about US$389.6 million) in claims to businesses that suffered damages during the unrest that rocked KwaZulu-Natal and Gauteng provinces about three months ago.
“To date, claims amounting to over R5.8 billion have been paid,” the statement said.
It said all claims below R1 million are being settled and paid in full quicker and that “agent companies are working extremely hard to make sure that these claims are paid as quickly as possible.”
SASRIA announced that it was targeting to settle 80 percent of all claims between R1 million and R30 million by the end of October.
The losses were incurred during rampant looting and vandalism of property that was triggered by public outrage over the arrest of Zuma on contempt of court charges in July. Estimates put the cost of damage suffered during the unrest at more than R10 billion.
The company said it had engaged industry representatives and reached an agreement that the damaged properties will rather be rebuilt, than do cash in lieu payments.
SASRIA is a government-owned non-life insurance company that provides coverage for damage caused by special risks such as politically motivated malicious acts, riots, strikes, terrorism and public disorders.