Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F. 

Form 20-F ___X___ Form 40-F _______

Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.

Yes _______ No___X____

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Insurance Policy renewal

Rio de Janeiro, March 26, 2010 – Petróleo Brasileiro S.A. - Petrobras announces that it approved the outcome of three bids for the renewal of insurance policies involving premiums totaling US$ 49.7 million. The first, for an insured amount of $94.9 billion, refers to Operational Risks, Oil Risks, and General Liability for Petrobras System's businesses. The winner was Itaú Seguros S/A (50%), as the leader, in coinsurance with Allianz Seguros S/A (30%) and Mapfre Vera Cruz Seguradora S/A (20%), with premium of US$47.1 million

The Operational Risk and Oil Risk policies cover all risks involving material damage to the main assets belonging to Petrobras and its subsidiaries, such as refineries, terminals, platforms, and other facilities. The General Liability policy covers material damage or personal injuries caused to third parties, including pollution.

The second bid was for Domestic and International Transport insurance for Petrobras Group. The winner was Itaú Seguros S/A (50%), as the leader, in coinsurance with Allianz Seguros S/A (30%) and Mapfre Vera Cruz Seguradora S/A (20%), with a premium of US$1.5 million. These policies cover cargo handling carried out by Petrobras and its subsidiaries.

The General Aviation Liability policy, which covers Petrobras Distribuidora's aircraft supply activities against material damage or personal injuries caused to third parties, was also approved. The winner was also Itaú Seguros S/A (50%), as the leader, in coinsurance with Allianz Seguros S/A (30%) and Mapfre Vera Cruz Seguradora S/A (20%), with a premium of US$1.4 million.

The level of deductibles varies according to each policy, but the maximum amount is US$ 20 million.

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This document may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (Securities Act), and Section 21E of the Securities Exchange Act of 1934, as amended (Exchange Act) that merely reflect the expectations of the Company’s management. Such terms as “anticipate”, “believe”, “expect”, “forecast”, “intend”, “plan”, “project”, “seek”, “should”, along with similar or analogous expressions, are used to identify such forward-looking statements. These predictions evidently involve risks and uncertainties, whether foreseen or not by the Company. Therefore, the future results of operations may differ from current expectations, and readers must not base their expectations exclusively on the information presented herein.

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This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (Securities Act), and Section 21E of the Securities Exchange Act of 1934, as amended (Exchange Act) that are not based on historical facts and are not assurances of future results.  These forward-looking statements are based on management's current view and estimates of future economic circumstances, industry conditions, company performance and financial results. The words "anticipates", "believes", "estimates", "expects", "plans" and similar expressions, as they relate to the company, are intended to identify forward-looking statements. Statements regarding the declaration or payment of dividends, the implementation of principal operating and financing strategies and capital expenditure plans, the direction of future operations and the factors or trends affecting financial condition, liquidity or results o f operations are examples of forward-looking statements. Such statements reflect the current views of management and are subject to a number of risks and uncertainties. There is no guarantee that the expected events, trends or results will actually occur. The statements are based on many assumptions and factors, including general economic and market conditions, industry conditions, and operating factors. Any changes in such assumptions or factors could cause actual results to differ materially from current expectations. 
All forward-looking statements are expressly qualified in their entirety by this cautionary statement, and you should not place reliance on any forward-looking statement contained in this press release. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information or future events or for any other reason.

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