§ Mr. Darling
To ask the Secretary of State for Scotland if he will indicate for (i) nuclear power stations and (ii) other power stations the total insurance cover held by the South of Scotland Electricity Board in respect of(a) damage to property owned by the board, (b) potential claims by employees of the board and (c) potential claims by third parties; and what is the cost of this insurance cover in each case.139W
§ Mr. Lang
[holding answer 23 November 1987]: The information, provided by the South of Scotland Electricity Board, is as follows.
The annual cost to the board of insurance for nuclear power stations is £3.87 million. This provides the following cover:
- (a) Damage to board property: £350 million aggregate annual loss limit, with an uninsured excess of £5 million for each and every loss;
- (b) Claims by board employees: £20 million aggregate annual claims for each nuclear site (see footnote); and
- (c) Claims by third parties: included in the £20 million aggregate annual cover specified at (b).
For non-nuclear power stations and other board property, the annual cost of insurance is £710,000. This provides the following cover:
- (a) Damage to board property: £75 million loss limit for each and every claim, with an uninsured excess of £5 million;
- (b) Claims by board employees: £50 million loss limit for each and every claim, with an uninsured excess of £5 million; and
- (c) Claims by third parties: £50 million loss limit each and every claim with an uninsured excess of £5 million.
Note: Any claims in excess of a nuclear site operator's liability, and up to a sterling equivalent of 300 million special drawing rights (currently about £227 million) would be met from public funds. Beyond that, the Nuclear Installations Act 1965 (as amended) provides that claims shall be satisfied to such extent and out of funds provided by such means as Parliament may determine.