U.S. Reactor Containment Technology: a Compilation of Current Practice in Analysis, Design, Construction, Test, and Operation, Volume 1 Page: 1-30
The following text was automatically extracted from the image on this page using optical character recognition software:
a hazard. Government indemnification does not provide coverage for damage
to a reactor and other on-site property involved in a nuclear incident.
The basis37 for determining the amount of liability insurance or other fi-
nancial protection to be maintained on nuclear reactors is given in Table
Table 1.8. Liability Requirements
Power Level Required Coverage
10 kw(t) or less $ 1,000,000
10 kw(t) to 1 Mw(t) 1,500,000
1 Mw(t) to 10 Mw(t) 2,500,000a
10 Mw(t) to 100 Mw(e) $150 x [Power in Mw(t)]
X [Population factor]b
100 Mw(e) or more $60,000,000
aExcept testing reactors and demonstration
bEstablishment of a satisfactory formula
has been difficult, and the current formula sug-
gests that a base amount of $150 per thermal
kilowatt of capacity be multiplied by a popula-
tion factor of between 1.0 and 2.0, depending on
local population density.
Federal agencies and nonprofit educational institutions that operate
reactors are exempt from financial protection requirements. However,
government indemnity is still available to them. Table 1.9 summarizes,
as of December 1963, the indemnity agreements entered into by the AEC, the
reactor power level, and the amount of financial protection required of
the licensee in order to qualify for the indemnification.
The private insurance coverage is provided by groups of companies in
order to achieve the required underwriting capacity. The two principal
syndicates are the Nuclear Energy Liability Insurance Association (NELIA)38
and the Mutual Atomic Energy Liability Underwriters (MAELU).39 A Nuclear
Insurance Rating Bureau, which determines the final rates for the insured
nuclear risks, has been established. Coverage is provided for public lia-
bility and for on-site property damage.
The nuclear energy liability policy issued by either of the above
organizations does not afford separate limits of liability for bodily
injury and property damage but contains a single aggregate limit of lia-
bility for all losses and loss expenses. The policy provides protection
not only to the operator of a nuclear facility but also to any other person
or organization who may be liable for injury or damage caused by the nu-
clear energy hazard. Another feature of the policy is continuous coverage.
The nature of the radiation hazard (damage might result from repeated
Here’s what’s next.
This report can be searched. Note: Results may vary based on the legibility of text within the document.
Tools / Downloads
Get a copy of this page or view the extracted text.
Citing and Sharing
Basic information for referencing this web page. We also provide extended guidance on usage rights, references, copying or embedding.
Reference the current page of this Report.
Cottrell, William B. & Savolainen, A. W. U.S. Reactor Containment Technology: a Compilation of Current Practice in Analysis, Design, Construction, Test, and Operation, Volume 1, report, August 1965; Oak Ridge, Tennessee. (https://digital.library.unt.edu/ark:/67531/metadc101033/m1/58/: accessed March 24, 2019), University of North Texas Libraries, Digital Library, https://digital.library.unt.edu; crediting UNT Libraries Government Documents Department.