Dispute between Sucre Insurance and CELEC for two hydroelectric companies

Pucara-Pillaro central

The Superintendency of Banks and Sucre Insurance Company  decided to pay $ 34 million to the Electric Corporation of Ecuador (CELEC) as a compensation for the damage caused to the power generation unit Pillaro-Pucara, which occurred in 2011. The energy plant is part of the complex Hidroagoyan (Tungurahua).

Through an official letter issued on April 11, 2013, the Director of  Care and Education for the user of  Superintendency, Carolina Pesantez, ordered that the transfer be made, in order to fulfill the fire insurance policies against all risks and lost profit subscribed by CELEC with the state insurance company. This decision came after the exchange of a series of official documents, in which the power company claimed a payment from the insurance company which was not willing to cancel until the first does not justify the damage.

Meanwhile, Sucre Insurance did not compensated CELEC because they failed to submit the report to substantiate the amount of the damage.

Sucre insurance company’s  attorney, Gutenberg Vera (also advocate of President Rafael Correa) called CELEC in January of this year to justify their claim and send the enabling documents, including the report from the expert.

According to the Superintendency of Banks, the expert, Inspeseg company was not hired by CELEC, rather it was hired through the intermediary of the reinsurance Security Re, but who really paid for their services was Seguros Sucre. Pesantez said that “under the principle of good faith in insurance contracts” the communication of the insured is enough and added that CELEC did confirmed the amount of the claim, based on the report made by the Lombardi company, which sets the damage in $ 34’048 541.06.

The period that the Superintendent gave for the payment was of eight days from the date of the report (April 11). However, neither Seguros Sucre nor CELEC confirmed whether the transaction was carried out.