There always exists a risk of gas cylinder blast in one’s premises. Any such unfortunate event may lead to injuries or even death besides damage to the household property. But, not many could be aware of the fact there exists insurance against injuries, death and property damage arising out of gas cylinder blast. There is an LPG gas insurance policy of the nature of group insurance cover taken by the Oil Marketing Companies (OMCs) and even by the dealers.
OMCs such as Indian Oil Corporation Ltd (IOCL), Hindustan Petroleum Corporation Ltd (HPCL), Bharat Petroleum Corporation Ltd (BPCL), take comprehensive Insurance Policy under ‘Public Liability Policy for Oil Industries’ to provide speedy relief to the affected persons in case of LPG related accidents. It covers all LPG consumers registered with OMCs.
Public Liability Insurance Policy taken by OMCs covers losses arising out of accidents where LPG is the primary cause of fire and not for cases where the primary cause of fire is other sources or reason wherein LPG cylinders gets engulfed and subsequently burst.
As per the information given by the Ministry of Petroleum & Natural Gas to the Rajya Sabha in July 2019, the policy provides for the following:
(i) Personal accident cover of Rs 6,00,000 per person in case of death.
(ii) Covers medical expenses of Rs 30 lakh per event with a maximum of Rs 2,00,000 per person.
(iii) In case of property damage, it covers maximum of Rs 2,00,000 per event at authorised
customer’s registered premises.
What to do in case of an incident – Process to file claim
All registered LPG consumers are covered under an insurance policy taken by the PSU Oil Companies. In case of an accident, one must immediately inform the distributor in writing. The distributor then informs the concerned Oil Company and the Insurance Company about the same. Assistance is offered by the Oil Companies to the customer involved or the next of kin, in completing the formalities of insurance claims arising out of the accident. In addition to the above, all LPG distributors also have Third Party Liability Insurance cover losses in the event of an LPG accident.