Nord Stream insurers deny policies covered war risks in UK lawsuit
(Reuters) — Nord Stream’s insurers denied in their written defense to a lawsuit filed at London’s High Court that their policies provide cover for gas pipelines damaged by blasts in 2022 because the damage was caused by war.
Nord Stream is seeking more than €400 million ($427 million) from its insurers over the explosions that ruptured pipelines designed to transport Russian gas to Germany.
It named Lloyd’s Insurance Co. and Arch Insurance (EU) dac as defendants in the suit.
Sweden – which in February dropped its investigation – and Germany both found traces of explosives related to the incident that ruptured the Nord Stream 1 and Nord Stream 2 pipelines, suggesting it was a deliberate act.
In their written defense, dated April 8 and first reported by Kommersant daily on Thursday, the insurers said Nord Stream's policy did not cover damage “directly or indirectly” resulting from war, military actions or the detonation of explosives.
The insurers also stated that the policy does not cover any damage that happened “under the order of any government.”
“The defendants will rely on ... the fact that the explosion damage could only have – or, at least, was more likely than not to have – been inflicted by or under the order of a government,” the insurers' lawyer said.
Gazprom, which built the pipelines; Nord Stream AG; Lloyd's; and Arch did not immediately reply to requests for comment.
Russia and the West, at loggerheads over Moscow's conflict with Ukraine, have pointed fingers at one another. Each has denied any involvement, and no one has taken responsibility.
