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Member, Beacon International Group, Ltd.
NASHVILLE, Tenn.—The Opry Mills Mall Ltd., which has been closed since early May due to flooding, has filed a lawsuit against 17 insurers and one brokerage seeking at least $150 million in claims.
In its suit, the mall claims it was covered for $200 million in flood insurance through a combination of various insurers, but that its claims have been denied and the insurers have offered only $50 million to cover damages.
Opry Mills mall, which is owned by Indianapolis-based Simon Property Group Inc., claims the mall’s damages are in excess of $200 million.
The lawsuit, was filed Tuesday in Chancery Court in Nashville, Tenn., cites breach of contract and negligence and requests a jury trial.
In the suit, Opry Mills mall claims it purchased $200 million in flood coverage through various insurers including Schaumburg, Ill.-based Zurich North America, Boston-based Liberty Mutual Group Inc. and Lloyd’s of London syndicates.
Also named in the lawsuit is Aon Risk Services Central Inc., a unit of Chicago-based Aon Corp. and the broker involved in placing the insurance for Opry Mills mall.
A spokesman for Zurich declined to comment on the issue due to pending litigation, while a message left with Aon was not immediately returned.
According to court documents, the defendants in the lawsuit claim they are limited to paying $50 million in liability, citing that Opry Mills mall would be entitled to its $200 million flood insurance policy except when the flood occurs in a “high-hazard flood zone,” which they define as a 100-year flood plain or the equivalent.
Opry Mills mall, which is built on the former Opryland USA theme park site, was flooded on May 2-3 when the Cumberland River flooded and enveloped much of Nashville’s metro area. It contains more than 100 tenants.
NASHVILLE (Reuters)Residents and volunteers in Nashville Wednesday dug through ruined possessions, mud and debris inundating flood-hit homes and businesses, with the recovery from deadly weekend storms hampered by power outages.