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Insurance company to pay 1 bln rbls for lost Express MD2 satellite

The list of insurance risks includes "full or partial destruction of the spacecraft"

MOSCOW, August 7 (Itar-Tass) — The Ingosstrakh insurance company said it was ready to fully meet its obligations and pay over one billion roubles for the lost Express MD2 satellite after official confirmation from the Roskosmos aerospace agency.

Ingosstrakh is ready to pay a total of 1.177,149 billion roubles, company spokesman Vladimir Kreimyonov told Itar-Tass on Tuesday.

"The risks were re-insured in the international re-insurance market," Kleimyonov said, "the company insured the launch and operation of the satellite and the list of insurance risks includes "full or partial destruction of the spacecraft."

Ingosstrakh specialits are in contact with Roskosmos. Ingosstrakh will certainly meet the commitments under the contract. In January, the company paid a complete sum of 7.5 billion roubles fro the Express AM4 satellite lost a year ago, according to the spokesman.

A Proton-M booster rocket with the Briz-M accelerator unit soared aloft from the Baikonur launch pad at 23:31, Moscow time, on August 6. It had to put in orbit two satellites: Russia's Express MD2 and Indonesia's Telkomk-3. The Briz-M malfunctioned and its engine only worked seven seconds instead of 18 minutes five seconds. As a result, the satellites failed to reach the preset orbits.

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