Riot fires leave retailers battling with insurers

Riot fires leave retailers battling with insurers

Appeals rage on as legacy of 2010 protests

An anti-government protestor piles tyres on a fire at the Central World shopping centre in April, 2010. (AP photo)
An anti-government protestor piles tyres on a fire at the Central World shopping centre in April, 2010. (AP photo)

A group of people affected by fires associated with politically motivated riots in 2010 renewed their calls Wednesday for improved compensation to cover damages the insurance companies claim they are not liable for.

Nida Tantiphinitwong, who owns Dokya bookstore at the Centre One shopping complex near the Victory Monument, said she had to shut the branch down after it was damaged by fire.

She said she has received some money from the government but remains massively in debt.

Insurance companies refused to cover all the damage on the grounds that the fires resulted from a riot, she said.

She appealed against the decision but the Supreme Court sided with the insurers, she said.

Rachapol Kraijirachote, the managing director of Centre One, said the shopping complex was gutted by fires, causing it to close for almost a year while repairs were carried out.

Renovation work cost 200 million baht but Centre One has only received 560,000 baht in compensation plus an additional 800,000 baht for not laying off its employees, he said.

"If the company hadn't found a way of coping with these losses independently it would have gone bankrupt. Sadly, we have become a victim of conflicts that had nothing to do with us," Mr Rachapol added.

The Supreme Court is scheduled to rule next Wednesday on whether it will accept Centre One's appeal to overturn a ruling in favour of the insurers, he said.

Saree Ongsomwang, secretary-general of the Foundation for Consumers, said the insurance companies should not escape liability simply because the fire stemmed from a riot.

Ms Saree said one of her agency's buildings also suffered fire damage from the 2010 riots but they were lucky to be able to resume operations within a few months as the damage was not severe.

The terms of insurance policies are written by the companies themselves, she said, adding that this leaves consumers little wiggle room in the event of a dispute. She said there should be a way to amend the terms or make them fairer for both parties.

Her foundation is still appealing a similar ruling that favoured the insurers, who refused to cover the damage, she said.

Meanwhile, the cabinet on Tuesday approved some changes to how compensation is paid on a humanitarian basis to about 100 children of people who were either killed or left disabled due to the political conflicts that raged in the nation from 2013-14.

The terms and conditions were changed to clarify that the Social Development and Human Security Ministry should pay the victims a monthly living allowance, government spokesman Sansern Kaewkamnerd said.

It must also cover scholarships for dependents who are still younger than 25 by the time they graduate with their first bachelor's degree, she added.

Lt Gen Sansern said the same terms and conditions would also be applied to the victims of the political conflict in 2012.

The monthly living allowances and scholarships require a budget of more than 6 million baht.

Do you like the content of this article?
COMMENT (5)