``We have given a Rs 11-crore cover to Ghai's new movie starring Anil Kapoor, Aishwarya Rai and Akshaye Khanna with all the risks to be borne only by us. Though we sent some proposals to international insurance companies, they have not evinced any interest,'' said Ajit Gupta, Development Officer with United Insurance Company.

In fact, due to the high risks involved in the Indian movie business, premium on Ghai's movie has been calculated at 1.5 per cent to 3 per cent of the insurance cover as compared to the industry average of around 0.25 per cent. United officials said whenever the risk factors were high -- as in the case of Taal -- they approached foreign insurance companies totake a substantial portion of the risk and premium as well for re-insurance. ``They sent us many questionnaires on the movie business in India and about Ghai's project. Finally, they decided that they will not be able to re-insure a movie produced in India,'' official said.

This is being seen as a setback to filmdom's attempt at gaining industry status. Though the insurance covers for international movies are common, for Indian movie-makers lack of such protection makes the business extremely risky.

United Insurance, however, is going ahead with its ``pioneering'' effort. The risk cover for Taal includes cast insurance, loss of working days due to unforeseen circumstances and accident cover for unit hands. Citing an example, United officials said if an actor died or met with an accident during shooting, they would compensate the producer for loss of working days and also the re-shooting. Film stars reporting late on the sets, however, is not covered. United Insurance officials said: ``It's a humanfactor and can be avoided by production houses with better planning.''

Due to the inexperience of Indian insurance companies in dealing with films, it took United Insurance over six months to prepare a project report on Ghai's venture. The insurance company is now studying proposals for more business from the film industry which includes the forthcoming movie of Yash Chopra and a Rs 32-crore television serial to be made by UTV.