Polish CSD Insures with AIG Europe

The Polish CSD, KDPW, has signed an insurance agreement with AIG Europe to cover against operational risks.

The PLN 100 million (ca. €24 million agreement is effective until June 30 2014) and provides insurance coverage against operational risks of the core and auxiliary business of the securities depository KDPW S.A. and the clearing house KDPW_CCP.

In particular, the insurance cover includes events of embezzlement of financial instruments and cash owned by KDPW and KDPW_CCP or other entities, held in accounts of KDPW and KDPW_CCP or in accounts of other entities maintained by KDPW and KDPW_CCP.

The coverage also includes any losses resulting from computer crime.

In addition, the insurance policy covers the risks of professional liability of financial institutions (interest or damages for default or inadequate performance of obligations by KDPW S.A. and KDPW_CCP).