Re/insurers Hiscox and Lancashire said in regulatory notices late last week that they did not expect large insurance claims from the collapse of Baltimore’s Francis Scott Key Bridge in March
Lancashire said that “In terms of the loss environment, the market impact of the tragic Baltimore bridge disaster late in the quarter is still being assessed. However, our potential exposure will be within our expectations for an event of this type”.
Hiscox said that it had “no direct exposure to the business interruption policy of the port or the property policy covering the bridge, although Hiscox London Market participates on the reinsurance for the International Group of P&I Clubs. No associated reserves were booked in the first quarter, as it remains an emerging event, however we expect the net loss to be moderate for the Group due to the reinsurance arrangements in place.”
French insurer AXA has also said it did not expect a “material” losses from the bridge collapse. AXA’s commercial insurance unit AXA XL is lead underwriter on the International Group $3.1bn reinsurance policy.
Last week the mayor and city council of Baltimore filed a lawsuit against the Singapore-based owner and manager, accusing the two companies of negligence in operating the ship, and saying the loss of the bridge had caused the city’s economic engine to “grind to a halt”.
–/8169402
—/8169193
