West Fertilizer was insured for only $1 million, a fraction of estimated losses

[ErikJ]

West Fertilizer was insured for only $1 million, a fraction of estimated losses

Dallas Morning News, May 3, 13

The West Fertilizer Co., scene of an explosion last month that killed 15 people and injured 200, carried only $1 million in liability insurance.
The cause of the blast is still under investigation. Should the company be found negligent, that amount of coverage probably would pay only a fraction of the claims.

Property damage alone in West could reach $100 million, according to the Insurance Council of Texas, an industry association. The April 17 explosion destroyed an apartment complex and seriously damaged a nursing home and a school. Several hundred homes also sustained damage, with some leveled to the foundation.

An attorney for United States Fire Insurance Co. of Morristown, N.J., confirmed Friday that West Fertilizer had $1 million in liability coverage “with no excess or umbrella coverage.”
Fertilizer facilities like the one in West are not required to have liability insurance that would compensate for damage they might cause, state insurance officials say, even if hazardous material is on hand.
West Fertilizer had reported having 270 tons of ammonium nitrate on site as of the end of last year. Outside experts have said it appears the chemical exploded during a fire on company property.

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http://www.dallasnews.com/news/west-explosion/headlines/20130503-west-fertilizer-was-insured-for-only-1-million-a-fraction-of-estimated-losses.ece

[RobertEarl]

1. Look at the videos

It appears to be, what some might claim, and act of God. Something weird, fer sure.

The videos show a fire ball coming TOWARD the fire. Yes, toward. Not away from, but into the ground fire. Then the big explosion.

I bet to cover that up there will be a generous settlement that goes undisclosed and everyone goes away happy.

[alphafemale]

4. On videos car and chariot wheels turn backward.

Are you implying something?

[SoCalDem]

2. My husband and I carry 1M liability fron State Farm...for a pittance

something like $400 a year... It's an umbrella policy that covers a myriad of possibilities.. and we do not run a business, have mean dogs, drive people for a living.. We are just being responsible people ..

It's criminal for a company that deals with explosive "ingredients" and does it near *O.P.P., to be so meagerly insured..




*other people's property

[alphafemale]

5. It is ridiculously slack.

No regulations...WoooOoooOoo!

[xchrom]

3. Du rec. Nt