Maryland is about to receive $350 million in insurance payments due to the bridge collapse

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On March 26, a Singapore-flagged container ship lost power and collided with one of the bridge’s support columns.

New York

The state of Maryland is set to receive a $350 million insurance payout in connection with the collapse of the Francis Scott Key Bridge in late March, according to the broker’s policy on the structure.

The payment would come from insurer Chubb, which has a $350 million limit on the policy it wrote on the bridge, according to Henry Daar, head of Property Claims, North America for WTW, the broker on the policy . Payment will be made soon instead of waiting for construction of a new bridge to begin, a process that could take years.

The policy covers only a small portion of the billions in damages and cleanup costs associated with the March 26 collapse caused by a cargo ship, the Dali, a Singapore-flagged container ship, that lost power and crashed into one of the bridge bottoms. supporting columns.

So far, 3,000 tons of wreckage and debris have been removed from the site for disposal or recycling, according to the latest update from the unified government command overseeing the efforts. A An estimated 50,000 tons of wreckage still needs to be removed from the site.

Unified Command reports that more than 350 uniformed and civilian workers from 53 federal, state and local agencies across the country have been deployed to Baltimore for the ongoing recovery and recovery efforts. In addition, 553 contract specialists are actively involved in various roles related to diving, crane and ship operations.

The accident temporarily halted much of the Port of Baltimore’s operations, causing ships to become stuck in the port. Since the accident, four temporary canals have been reopened, allowing some vessel traffic to resume. A week ago, 171 commercial ships transited the alternate channels, including five of the ships that have been waiting to leave Baltimore since March 26.

Last month, the city of Baltimore filed a legal claim on Monday against Grace Ocean Private Limited, owner of the vessel; and Synergy Marine PTE LTD, which managed it. The lawsuit accuses both companies of supplying the ship with an “incompetent crew” who lacked the proper skills and training, according to CNN’s claim. The city is seeking unspecified damages from both companies. Chubb could also file a lawsuit seeking reimbursement for the money it owes the state.

The cause of the accident has yet to be officially determined. A preliminary report from the National Transportation Safety Board could be released as early as next week. But a final report could take more than a year.

The planned payment by Chubb was first reported by the Wall Street Journal on Thursday.

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