Viet Nam Pays US$21-Million Insurance Premium for Its First Satellite

An US$21-million insurance contract for Vinasat, the country’s first satellite, was signed yesterday in Ha Noi to prepare for the satellite’s first launch on March 28, 2008.

Vinasat, the country's first satelite which is to be launched on March 28, 2008

The contract was signed between the Vietnam Post and Telecommunications Group (VNPT), the Vietnam Insurance Group (Bao Viet), and the Postal Insurance Company (PTI).

It stipulates that Bao Viet and PTI will insure any damage to Vinasat during its launch and time in orbit which may lead to the loss or inactivity of the satellite.

According to the contract, if any mishap occurs during the launch or after one year in orbit, the insurance companies will pay US$177 million to reduce government losses.

Several companies registered for the insurance contract, but after several rounds of negotiations and surveys, Bao Viet and PTI were chosen as the satellite’s insurers.

The Vinasat telecom satellite project was launched in 1997, with a total investment of VND2.88 trillion (some US$178 million).

Vinasat has two earth stations including the main station in the northern province of Ha Tay and a standby station in the southern province of Binh Duong which are ready to go into operation.

Once operating, Vinasat, which can cover all of Southeast Asia, China, Korea, India, Japan and Australia, is expected to help improve the nation’s communications infrastructure and allow 100 percent of Viet Nam’s rural and mountainous communities to be equipped with telephones and televisions. 

Related articles:
Vinasat Satellite to Be Launched Into Orbit in April 2008
US Company Wins Bid for VINASAT Satellite

Source SGGP, Vietnam Net – Compiled by Khanh Hong

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