May 5, 2016
Southern California Gas Co. estimates costs to cover the Aliso Canyon natural gas leak have risen to $665 million. The utility says it has insurance policies to cover costs, with a combined limit available in excess of $1 billion.
The company has four types of insurance policies for current and expected claims, losses and litigation connected to the leaky storage facility that was plugged in February.
The four-month leak resulted in thousands of residents moving out of homes in the nearby Porter Ranch community. Legal experts and lawyers involved in the many lawsuits filed say the utilities’ $1-billion in insurance may not come close to what’s needed.