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A Zhejiang Province-based materials company has won a lawsuit to claim compensation of nearly 30 million RMB against a well-known domestic insurance company, capturing the attention of the insurance industry. AllBright represented the client in the case.

The AllBright client specializes in the manufacturing and sales of PVC as one of the top three players in the industry. In 2011, the client purchased property all risk insurance, loss of profit insurance, and machinery breakdown insurance, with a total coverage of 1.5 billion RMB. On April 2, 2012, a storm-caused blackout hit the client, causing the loss of profit, damage to inventory and equipment, and rescue costs. The insurer only recognized an inventory damage of 600,000 RMB and refused other compensations including losses of profits and rescue costs.

AllBright partner Zong Shicai represented the client to sue the insurance company after a thorough study of the case on December 5, 2012. The court, after one-and-a-half year trial, found in favor of AllBright’s client and ruled that the insurance company to pay a compensation of nearly 30 million RMB. As both parties decided not to appeal, the ruling was final and the insurance company paid the compensation to AllBright’s client.