Bharat Diamond Bourse snippets

BDB can rank among commercial structures with the costliest insurance cover of approximately Rs. 510 crore as the policy only provides insurance for the building. There are other buildings that have higher insurance policy, but those include other wares as well. For example, a room in a five-star hotel is insured at Rs 1 crore, but this also includes costly furniture and furnishing,’’ said an industry source. Bourse chief Anoop Mehta added: “We are planning to buy a bigger policy in the coming months. The existing cover is based on the fact that the building was under construction till recently. Though the existing policy was renewed in September, we will carry out an evaluation of new facilities like basement car parking etc. while opting for higher cover.’’ The fortified BDB is spread over 2 million sq feet and is expected to attract nearly 25,000 visitors daily. As of now, there are around 500 personnel working in three shifts but this figure will touch 1,300 once the bourse become fully operational, say officials. Once fully operational, the BDB will boast of diamond stock worth Rs 10,000 crore on any given day. The building is expected to house 2,500 small and big traders and one can imagine the business they will generate for insurance firms. Explained BDB managing committee member Viral Shah: “Each trader will opt for individual policies, including block policy that will cover the diamond stock, employee insurance and even a policy for furniture and fixtures. A trader having diamond stock of nearly Rs 1 crore will go for a cover of at least Rs 15 lakh. On an average, the traders will shell out an annual premium of Rs 30,000 per annum towards insurance for a stock of Rs 1 crore.’’

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