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Air India seeks fog insurance

Ashwini Phadnis

New Delhi, Oct 3

In an effort to contain its losses due to flight operations getting affected during the winter months, particularly in Delhi, Air India has entered the market seeking a fog insurance cover for a five-month period starting November 1, this year.

The airline is seeking a cover of Rs 20 lakh a-day for its foreign stations and Delhi, while for other cities in the country, it is seeking a cover of Rs 10 lakh-a-day.

“During the winter months, the airline operation gets affected by fog. During this period, we have to provide accommodation to passengers and also pay for additional fuel in case the aircraft is diverted from the city where it is originally supposed to land due to inclement weather conditions. The insurance cover will help meet some of these costs,” a senior airline official said.

This is the third successive year that the airline is seeking such a cover. In the past, the airline had identified Bangalore, Dibrugarh, Lucknow, Srinagar, Delhi and Amritsar as running the risk of being hit by fog-related delays, while the international airports include New York, Chicago, Toronto, Birmingham and Frankfurt.

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