Atomic Cleanup Cost Goes to Japan's Taxpayers, May Spur Liability Shift

[fascisthunter]

Source: Bloomberg

Japan’s taxpayer, not the nuclear industry or insurers, will cover most of the cleanup cost from the worst accident since Chernobyl, a financial rescue that may spur moves by nations to make companies assume more liability.

Tokyo Electric Power Co., in its 13th day fighting to avert a meltdown at its Fukushima plant 220 kilometers (135 miles) north of Tokyo, at most is required to cover third-party damages of 120 billion yen ($2.1 billion) under Japanese law. Should the government declare the magnitude-9 earthquake and tsunami that flooded its reactors an “exceptional” act of God, the utility may be off the hook in paying compensation that may be demanded by injured workers, farmers and shareholders.

While nations including the U.S., Germany, India and China ordered plant safety checks after the March 11 accident, some governments may seek to transfer more financial responsibility to plant operators, which worldwide plan to build or relicense more than 100 reactors, according to researchers who follow the nuclear industry.



Read more: http://www.bloomberg.com/news/2011-03-23/nuclear-cleanup-cost-goes-to-japan-s-taxpayers-may-spur-liability-shift.html

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Gee.... who didn't see this coming?

[Uncle Joe]

1. Kicked and recommended.

Thanks for the thread, facisthunter.

[fascisthunter]

16. You are Very Welcome

glad I could contribute.

[CountAllVotes]

2. this is why earthquake insurance it a total rip-off

The deductible is $15,000.00 before they shell out a cent for earthquake damage. They don't cover costs like your fence falling down and needing repair (that is up to you). The worst damage that could happen to me, sans a tsunami, is having the foundation of the house crack. This has happened before and it was not known (after to 7.0+ quakes in one night!). It was discovered when new carpeting was put down and the crack in the foundation was fairly easily fixed and sure didn't cost no $15,000.00.

Being an earthquake is an "act of God", this is how insurance companies get around paying for losses.

In the event of a tsunami, well, you are screwed anyway!

:kick:

[dipsydoodle]

4. In an earthquake zone

I'm amazed that insurance is available at all. Insurance covers the risk of an event occurring : not a certainty. The price of insuring a certainty could in theory be infinite.

[CountAllVotes]

5. it is available by law in California

I live here in California and have been through many earthquakes being a native San Franciscan. You can buy it alright and the cost is about $300.00 a year for the bare bone minimums. The deductible is so damn high that it becomes pointless. I could buy a whole new foundation for this house here for $15,000.00! And then, the insurance might kick in, you never know.

I suspect other homes cost more to get earthquake insurance for (based on value I suspect) but the place I live in is not a real expensive home and yeah, it lies on several faults, including the San Andreas which I've lived on most of my life.

[dipsydoodle]

10. Closest we have here

is higher "deductible" as you call them , "excess" here ,in areas known to be liable to subsidence and similar in areas know to flood. We get subsidence in clay areas sometimes after long hot dry spells.

I had friends who bought a motel in Clearwater FL back in the early eighties and I recall them mentioning that not everybody could get hurricane insurance cover even back then.

[CountAllVotes]

12. they were trying to sell me flood insurance here for awhile

I almost bought a house in a flood zone and decided against it being I know all about tsunamis (this particular area was not affected luckily).

That said, between flood insurance, earthquake insurance, property insurance, etc. it added up to more than the property taxes for the entire year cost!

And just try filing a claim ... I seriously doubt you'd get a nickel if it was due to an "act of God".

Floods happen when the hot water heater goes on you and runs into your house. I suppose they might cover something like that but they'd probably blame it on the person that owns the hot water heater for not replacing it sooner or some B.S. like that.

I hate insurance. It never pays when it should. I learned this a long long time ago when I got off work one day and found my car totaled out because some rich old fool had run a red light and plowed into it. I had to find a lawyer to recoup my losses and after about 5 years I finally got the settlement.

I took said settlement and decided to go on a trip overseas. I visited London, Belgium, Germany, Austria, Switzerland and France. At that time the English pound was valued at $1.16 on the U.S. dollar. It hasn't been that low since and I had a great time btw. That is what I did with the money I got for a hell that should have been paid for straight off as my attorney found an eye witness that saw the rich old man running the red light in his BMW and he figured that lowlife me wouldn't have the audacity nor money to find and hire a lawyer! :grr:
:puke:

:dem:

[Baclava]

7. What about car insurance coverage in Japan? They must have lost a bazillion of them in the tsunami.

Are people out of luck there too?

[CountAllVotes]

8. if the car was lost due to the earthquake

Sorry buddy but that was an act of God that did that to your car so screw you and go buy yourself another one at YOUR expense! :mad:

:kick:

[Baclava]

14. I'm a pantheist - I pick and choose my gods

Fuck insurance companies - that's what the oracles say.

[JDPriestly]

20. In California, we buy special earthquake insurance.

I once spoke to a company representative about the insurance. She told me that people will be paid by their insurance as long as the money in the fund holds out.

Strange insurance in my view. No commercial company will really cover earthquake damage fully. The insurance we have is somehow funded by the State of California. That's how I understand it anyway. I could be wrong about this but that is what the agent told me.

[CountAllVotes]

21. info. re: this here:

Does the California Earthquake Authority (CEA) restrict buying/selling earthquake insurance after an earthquake?

The CEA does not restrict buying/selling CEA insurance products after an earthquake. It is possible, however, that after an earthquake CEA participating insurers may restrict writing of their residential-property-insurance products (e.g., dwelling fire, mobilehome, renters, or condominium-unit owners).

Under California insurance regulations, applicants who wish to purchase CEA earthquake coverage must have a residential property insurance policy in effect from a CEA participating insurer.
• If an applicant is unable to purchase a residential-property-insurance policy from a CEA participating insurer because that insurer has imposed a restriction, the applicant may be unable to purchase CEA coverage.
• Current residential-property-insurance policyholders of a CEA participating insurer, on the other hand, may purchase a CEA policy at any time.

http://www.earthquakeauthority.com/index.aspx?id=13

[snappyturtle]

3. K&R "Gee...who didn't see this coming?" is right. I was thinking

this morning that all utilities and natural resources ought to be nationalized. These companies that are making the profits don't want regulation, to begin with, nor take responsibility when things go dreadfully wrong. Remove the outrageous profit and regulate. imho

[AndyTiedye]

17. Government Ownership Won't Make Nuclear Power Safe

Chernobyl was 100% government-built, owned and operated. :nuke:

[snappyturtle]

22. Maybe it's naive of me to think that a government entity would be

easier to regulate than a corporate one. That is all.

[blunderbuss]

6. another example of

privitized profits and socialized loses?

[russspeakeasy]

9. Just following the usa example.

[JJW]

11. Food, Water, & Shelter

Right now I think people are more concerned about getting basic bodily needs met...food, water, shelter.

[Citizen Worker]

13. Socialize the costs and privatize the profits. The wonders of the free market.

[The2ndWheel]

19. It's the foundation upon which civilization rests

[daleo]

15. The same would apply in most countries

Nuclear disasters are simply too expensive for the insurance industry to be able to cover. That tells you something.

[AndyTiedye]

18. The US Limit is Currently 12.6 Billion

AFAIK, these limits still apply even in cases of gross negligence.

[fascisthunter]

23. .

[defendandprotect]

24. Americans should keep that in mind re Obama's future NUKE plans -- !!!