Indonesian Political, Business & Finance News

Rights commission to help settle riot insurance claims

| Source: JP

Rights commission to help settle riot insurance claims

JAKARTA (JP): The National Commission on Human Rights says it
is ready to support insurance claims from traders whose property
and goods were damaged or lost during the July riots.

Asmara Nababan, a member of the commission, told The Jakarta
Post on Saturday that the commission will issue letters to
support the claims, if that is what is needed to secure
compensation.

Nababan reiterated the commission's earlier appeal to the
government and insurance companies to look beyond the formalities
of insurance claim procedures when dealing with the traders.

They should take humanitarian aspects into consideration, he
said, noting that the claimants include small vendors.

"We appeal to their sense of solidarity," he added.

Nababan was responding to comments by Munir Sjamsoedin, the
head of the Indonesian Insurance Council, published in Terbit on
Friday which said the commission should issue a letter in support
of the claims filed by the traders.

The letter could be used by insurance companies, if they
decide to pay, to initiate court actions later against those held
responsible for the riot, said Munir.

He did not reject the human rights commission's appeal to pay
up, but said the council was closely watching the current trial
of people blamed for the riot.

"The council is waiting for the court verdict," he said
referring to the trial of over 100 people blamed for the riot
which left five people dead.

Insurance companies have told traders they have a valid claim
only if their policy covered what is known in the industry as
RMDS, which stands for riots, malice, damages and strikes.

Most of the insurance policies held by traders did not include
this clause. Many traders, particularly small vendors, did not
even have insurance policies.

Shop owners have said their losses ranged between Rp 600
million ($255.000) and Rp 5 billion ($2.1 million) each. Street
vendors say their losses were between Rp. 3 million and Rp. 10
million. Car showrooms, a musical instrument store, a drugstore,
a supermarket, and several banks were razed during July 27 riots.

The city administration estimated that total material losses
amounted to more than Rp 100 billion. The administration said 34
buildings were destroyed, 134 vehicles and seven motorcycles were
burnt, and public facilities such as pay phones, traffic lights
and parks were severely damaged.

Nababan said the commission is also appealing to the
government to provide some compensation for street vendors
because most of them did not have insurance.

Help could be provided by the Ministry of Cooperatives and
Small Enterprises, the Ministry of Social Services, and the
Ministry of Industry and Trade, he said.

Other organizations or bodies, including non-governmental
organizations, could also lend a hand to the street vendors, he
added. (16)

View JSON | Print