The majority of businesses and facilities damaged, ransacked or looted during street clashes are not entitled to compensation, an insurance expert has revealed.
Cairo and other Egyptian governorates have witnessed bloody street violence between security forces and citizens on one side and supporters of deposed President Mohamed Morsy on the other, after authorities forcibly dispersed sit-ins demanding Morsy’s reinstatement last week.
Alaa al-Zuheiry, board member at the Insurance Federation of Egypt, said only three percent of clients are insured against riots and political violence. He explained that the current events are classified as political violence, which require damage pay through special documents.
Zuheiry revealed that companies will take account of damaged clients in order to refund their losses, but added that no notifications have been received yet from customers.
He also noted that losses during the current events are, however, less than those sustained during the January 2011 uprising, when companies paid more than LE1 billion in compensation.
Edited translation from Al-Masry Al-Youm
