On July 15 and 16, Ramaco Resources Inc. was awarded a $32.7 million jury verdict in its lawsuit against insurance companies indirectly owned by Chubb INA Holdings Inc. (Chubb). The claim was litigated in the United States District Court for the Southern District of West Virginia and stemmed from Chubb’s denial of insurance coverage of damages incurred by the company from the collapse of a coal storage silo. The collapse happened at Ramaco Resources’ Elk Creek coal complex in West Virginia on November 5, 2018.
After coverage was denied, the company filed suit against Chubb in August 2019, which was ultimately heard before the Federal court in the Southern District of West Virginia. On July 15, the jury returned a verdict in favor of the company for $7,653,057 in compensatory damages and on July 16 made an additional award of $25,000,000 for inconvenience and aggravation.
The company said it will also seek to recover its attorney’s fees and costs. This verdict is also not final and may be subject to post-trial motions or appeal.