Insurance and reinsurance broker Gallagher has structured and placed a tailored risk solution for the Indian market, with The Phoenix Mills Ltd. becoming the first insured in India to be covered against business interruption losses as a result of pandemic or epidemic outbreaks based on parametric triggers.
The innovative policy enables the firm’s different businesses, which includes malls, hotels and office assets spread across India, to maintain operational continuity and financial stability in the face of any unforeseen global health crises.
Reinsured by Munich Re, one of Europe’s largest reinsurance companies, the policy covers loss of revenue and additional “extra” expenses arising from epidemic events.
Girija Subramanian, Chairman, Managing Director, New India Assurance, commented, “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.”
Kailash B Gupta, The Phoenix Mills Ltd., said, “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.”
Gallagher combined global reinsurance capacity with local insurance needs, providing a risk solution that mitigates future disruptions to a certain extent by safeguarding the company against NDBI losses.
Puneet Gehani, Chief Broking Officer, Gallagher Insurance Brokers Pvt Ltd, India, added, “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.”
Prashant Khandelwal, Head of Banking & Treasury, The Phoenix Mills Ltd, said, “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.”
This policy is reinsured by global reinsurer Munich Re’s Epidemic Risk Solutions (ERS) team, leveraging global expertise in pandemic solutions, which are designed to provide swift and transparent payouts based on predefined triggers.
Surbhi Goel, Chief Executive Officer, Munich Re India, explained, “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.”
The ceremonial handover for the policy was held at Jio World Convention Centre in Mumbai, attended by a senior delegation from Munich Re, New India Assurance, Gallagher Insurance Brokers, and Phoenix Mills Ltd, with representatives from offices in India, Singapore, and Munich.
Some of the senior leaders included: Kasturi Sengupta, Executive Director of New India Assurance; Surbhi Goel, CEO of Munich Re India; Dr. Gunther, Global Head of Epidemic Risk Solutions, Munich Re Germany; and Ajit Horra, Managing Director of Gallagher Insurance Brokers.
Ajay Sadana, Head of Origination, Asia, Epidemic Risk Solutions, Munich Re, added, “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.”
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