Insurance Companies Sue Kodiak Electric in Alaska Over Fire Damage

December 22, 2017

Two insurance companies filed a lawsuit against the Kodiak Electric Association in Alaska claiming it was responsible for a fire that caused damage to clients’ property.

Lexington Insurance Co. and Alaska Municipal League Joint Insurance Association accuse the electric cooperative of negligence, trespassing and nuisance, the Kodiak Daily Mirror reported.

An official report on the August 2015 fire near Chiniak said it started when trees fell onto a downed power line. The lawsuit said the downed power line was owned and maintained by Kodiak Electric Association, and claimed the electric cooperative was negligent because it should’ve known a certain spruce tree was in dangerous condition.

The lawsuit said the electric cooperative is also guilty of trespassing because the insurance companies’ clients “did not consent to entry of the Twin Peaks Fire onto their property.”

Lastly, the lawsuit said the electric cooperative caused a nuisance because its clients’ “free use and enjoyment” of their property was obstructed.

The insurance companies requested repayment for the amount they had to pay in property damages to insured parties, as well as court fees.

Lexington Insurance Co. said it had to pay more than $400,000 to its clients.

The electric cooperative declined to comment on the lawsuit.

Topics Lawsuits Carriers Alaska

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