On Tuesday, August 6, the Ministry of Economy organized a meeting with insurers and other responsible bodies to discuss issues related to the process of paying out flood insurance claims. Everyone agreed that in the future, the terms of contracts should be made clearer. At the same time, it is impossible to introduce a single concept of "flood" or "flooding". It also turned out that some insurance companies have limits on compensation payments. This means that for some clients, the amounts paid will not be able to cover all the damage caused by the recent storm. The meeting was organized by the Ministry of Economy. It was attended by representatives of the Ministry of Finance, the Bank of Latvia, the Latvian Insurers Association (LAA), the Finance Latvia Association and the Consumer Rights Protection Centre (PTAC). It turned out that even companies that did not refuse to pay have their own "pitfalls" – some insurers have limits on compensation payments, Lsm.lv reported. As a lawyer helping victims told Latvian Television, there are clients who receive such small amounts that they can go to court. Meanwhile, the president of the Latvian Insurers Association, Janis Abashins, emphasized that one should not expect the insurer to suddenly pay 100 thousand euros as compensation for uncovered risks. "Insurance companies are not charitable organizations and do not perform social functions. This is the task of the state. Insurers work according to the terms of the contracts," he noted.
