Nord Stream AG (the operator of Nord Stream) and the defendant insurers are arguing at the High Court in London about the origin of the dent in one of the gas pipelines. The operator disagreed with the claim of insurers Lloyd's Insurance Company and Arch Insurance as to the cause of the dent. Nord Stream AG said in court that the companies would have to prove a link between the explosion and the deformation. RBC writes about this in connection with the company's statement to the High Court in London regarding the position of the defense representing the insurers.
Operator of "Nord Stream" - Nord Stream AG, in February 2024 filed a lawsuit in the High Court of London for almost EUR 400 million against the insurers Lloyd's of London and Arch Insurance due to their refusal to cover damage from gas pipeline explosions. At the same time, Nord Stream AG estimated in advance the costs of removing water from the pipelines and stabilizing their operation, carrying out repairs and replacing the lost gas at EUR 1.2-1.35 billion.
The defendants argue that the gas pipeline was damaged as a result of hostilities related to the conflict between Russia and Ukraine, and such risks are not included in the insurance policies. In addition, the companies do not agree with the volume of the insurance limit announced by the operator of the "Nordic Stream".
Nord Stream AG states that two explosions are separate insured events and the occurrence of a depression is another, third. The company also insists that insurance policies cover the risks of pipeline damage even in the event of military action.
Nord Stream AG previously reported a possible dent between March 9, 2021 and October 30, 2022 due to an external influence. Lloyd's and Arch indicated that the damage occurred during the explosions due to its location and debris from unidentified objects nearby, the publication added. Insurers also stressed the need to establish a more precise time when the dent may have occurred, as the details and participation of insurers in policies have changed since November 1, 2021. For this reason, the insurance company believes it is impossible to clearly determine those responsible for benefits.
As the publication reports, the operator's company agrees that a “cylindrical-shaped” object was found near the depression. and a "hook" shaped object. during the initial examination. However, the company does not accept the general allegation of explosions as the cause of the damage and says that “the defendants are required to prove it to the full”. Nord Stream AG also notes that the policies have one insurance period - from 1 November 2019 to 31 October 2023 - and the period for the occurrence of a dent is “sufficiently specified".