Reef Casino Trust (ASX:RCT) pays higher premiums for 2020 insurance

Company News

by Katrina Bullock

Reef Casino Trust (ASX:RCT) has seen a $487,000 increase in its insurance premium for 2020 in relation to the Reef Hotel Casino complex.

The company says that “due to challenging market conditions in the insurance industry” they have experienced “reductions in the insurance coverage” and “an increase in premium costs”.

While the overall policy limit for property damage and business interruption remains unchanged, from 31 December 2019 new sub limits will apply to types of damage.

For example, damage caused by the sea, tidal wave and high water will be capped at $1 million.

Insurance premiums for the Reef Hotel Casino complex have risen to approximately $1.3 million for the 2020 year.

Shares in Reef Casino Trust (ASX:RCT) last traded at $2.65.