Nigeria-based Shongai Packaging has received a sum of N335m ($2.20m) as claims settlement from Royal Exchange General Insurance company. According to a statement issued by the Corporate Affairs Department of Royal Exchange, the payment is in respect of a fire incident that ravaged the warehouses of Shongai Packaging in December, 2009, destroying a substantial part of the company’s inventory and temporarily shutting down their operations.
Royal Exchange General Insurance Company (REGIC) managing director Olutayo Richard Borokini said that the N335m ($2.20m) claims settlement was coming at the heels of the N4.1b ($0.03b) paid to the Nigerian Bottling Company (NBC) as material damage and consequential loss following an inferno at the Benin bottling plant of NBC in December 2008.
“We consider this event significant not just because of the amount of money being paid out as claims settlement nor the stature of the companies involved in this transaction but because it marks a significant milestone in the history of Royal Exchange and Shongai Packaging, which dates back several decades,” Borokini said.