Mumbai (Maharashtra) [India], October 18: The Phoenix Mills Ltd has become the first insured in India to be covered against business interruption losses due to pandemic or epidemic outbreaks based on parametric triggers. The coverage includes loss of revenue and additional extra expenses arising from epidemic events. The policy empowers its different business verticals spread to of Malls, Hotels and Office Assets spread across India, to maintain operational continuity and financial stability in the face of any unforeseen global health crises.
“We experienced the impact of the last pandemic firsthand — our retail outlets remained closed for 5 to 8 months, leading to zero revenue and substantial fixed costs. It was an extremely challenging period, marked by uncertainty and disruption. That experience has left a lasting impact on the financials of many corporates, including ours. This new insurance solution provides us with the assurance that we are now better equipped and more resilient to face such events in the future.,” – Mr Kailash B Gupta, The Phoenix Mills Ltd.
Gallagher, a leading risk management and insurance broking firm, recognized this vulnerability and expressed its keenness to offer an innovative solution by way of a new policy. Acting as both reinsurance and insurance broker, Gallagher structured and placed a tailored risk solution for the Indian market. The broker bridged global reinsurance capacity with local insurance needs, delivering a risk solution that mitigates future disruptions to a certain extent by safeguarding the Company against “Non-Damage Business Interruption (NDBI)” losses. This marks a new chapter in innovative risk management for India.
“Structuring this pioneering pandemic cover reflects our commitment to redefining risk protection in India. At Gallagher, we don’t just place policies—we unlock global capacity, local relevance, and rapid response. In moments of crisis, clients deserve more than coverage; they deserve clarity, speed, and certainty. This solution delivers all three.” – Mr. Puneet Gehani, Chief Broking Officer, Gallagher Insurance Brokers Pvt Ltd, India.
“Poonam and I conducted an in-depth review of the various aspects of the Policy and articulated the nuances of our business to the team of experts at Gallagher. This collaborative exchange played a pivotal role in shaping the overall structure of the Policy.” — Mr. Prashant Khandelwal, Head – Banking & Treasury, The Phoenix Mills Ltd.
This pioneering policy is reinsured by Munich Re’s Epidemic Risk Solutions (ERS) team, leveraging global expertise in pandemic solutions. These solutions are designed to provide swift and transparent payouts based on predefined triggers, indemnifying businesses to recover faster from catastrophic communicable disease outbreaks.
“At Munich Re, we’re proud to launch India’s first Epidemic Risk Solution policy in partnership with New India Assurance, Gallagher and Phoenix Mills — a pioneering step towards pandemic resilience. This product combines the power of parametric with innovation to provide swift financial protection when outbreaks disrupt business operations. This stands as a testimony that as an industry we are ready to move from reaction to preparedness.” – Ms Surbhi Goel, CEO, Munich Re India.
“Collaborating with a global team to introduce advanced insurance frameworks to India has been a deeply fulfilling experience. Pandemic risk, by nature, is systemic unfolding across geographies and sectors in real time. Making it insurable is not just a technical feat, but a redefinition of what insurance can hold. Such risk cannot rest solely on insurers’ balance sheets; it requires a broader financial architecture that converts exposure into investable instruments. By engaging capital markets, we distribute risk more widely and build a stronger, more resilient ecosystem.” — Mr. Ajay Sadana, Head of Origination for Asia, Epidemic Risk Solutions, Munich Re
New India Assurance, the country’s largest non-life insurer, has officially issued the first Pandemic Insurance policy for Phoenix Mills Ltd under a NDBI package program.
“For over 106 years, The New India Assurance Company Ltd. has been a pioneer and leader in the Indian insurance industry, consistently introducing innovative products to meet emerging risks. The Company takes pride in its milestone contributions, especially in providing insurance solutions during the pandemic, reinforcing its commitment to safeguarding businesses and society.” – Ms Girija Subramanian, CMD of New India Assurance
The ceremonial handover was held at the prestigious Jio World Convention Centre, marking a pivotal milestone in addressing the insurance protection gap for epidemic-related risks. The event was attended by a distinguished senior delegation from Munich Re, New India Assurance, Gallagher Insurance Brokers, and Phoenix Mills Ltd, with representatives from offices in India, Singapore, and Munich. The presence of key leaders—including Ms. Kasturi Sengupta, Executive Director of New India Assurance; Ms. Surbhi Goel, CEO of Munich Re India; Dr. Gunther, Global Head of Epidemic Risk Solutions, Munich Re Germany; and Mr. Ajit Horra, Managing Director of Gallagher Insurance Brokers—underscored the strategic significance and collaborative spirit driving this groundbreaking initiative
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