GSIS sets P69.1M for earthquake-related claims

The Government Service Insurance System (GSIS) has earmarked an initial P69.1 million in loss reserves for potential claims from damages to government properties in Mindanao hit by the magnitude 7.8 earthquake earlier this month.

According to the GSIS, the initial reserve has been allocated to cover valid insurance claims involving buildings, facilities, equipment, and other public assets owned by government agencies and local government units (LGUs).

The agency said initial reports indicate that 4,403 insurance policies, with a total sum insured of P23.59 billion may have been affected. General Santos City accounted for the largest concentration of insured properties.

“The earthquake highlights the critical role of insurance in protecting government assets and ensuring the continuity of public services. We encourage agencies to regularly review their coverage and asset valuations so they can recover more quickly when disasters occur,” GSIS President and General Manager Jose Arnulfo “Wick” Veloso said in an emailed statement.

“Insurance should not be treated as a compliance requirement alone. It is a risk management tool that enables agencies to restore damaged facilities and resume services without placing additional strain on public funds,” he added.

READ: Does insurance cover earthquake damage?

The Philippine Institute of Volcanology and Seismology (PHIVOLCS) recorded the earthquake at 7:37 a.m. on Monday, June 8, initially with a magnitude 7 with a depth of 10 kilometers (km). This was upgraded to a magnitude 7.8 with a depth of 33 km.

Intensity VII was reported in General Santos City, with an instrumental intensity VIII recorded in Malapatan, Sarangani. —VAL, GMA News