Edmonton

Fort McMurray airport suing insurer for $34M over losses in wildfire

The Fort McMurray Airport Authority is suing its insurer for $34 million to cover losses incurred in the devastating wildfire two years ago.

Airport authority negotiating with insurance company, spokesperson says

The Fort McMurray Airport Authority is suing its insurer for $34 million. (Fort McMurray Airport Authority)

The Fort McMurray Airport Authority is suing its insurer for $34 million to cover losses incurred in the devastating wildfire two years ago. 

A statement of claim filed by the airport on May 1 says the airport incurred $34,252,678.18 in damages and lost revenue.

The claim said airport improvement fees and terminal and landing fees are a significant source of revenue.

It also asks for legal costs and $2 million in damages.

The Fort McMurray airport was closed for more than a month to commercial aircraft during the wildfire emergency response in May 2016.

While the insurer, FM Global, has made some pay outs, it rejected the airport's proof of loss, the claim said.

The authority declined to comment on the lawsuit. 

"The Fort McMurray Airport Authority is currently in negotiations with its insurance company and we hope to come to a mutually agreeable resolution," spokesperson Joanne Meredith said.

A view of Fort McMurray International Airport from a web camera atop the terminal, shows the fire engulfing a nearby outbuilding on May 4, 2016.

None of the allegations have been proven in court.

FM Global has not filed a statement of defence and it did not respond to CBC's request for comment.

Connect with David Thurton, CBC's Fort McMurray correspondent, on FacebookTwitterLinkedIn or email him at david.thurton@cbc.ca

ABOUT THE AUTHOR

David Thurton

Senior reporter, Parliamentary Correspondent

David Thurton is a senior reporter in CBC's Parliamentary Bureau. He covers daily politics in the nation’s capital and specializes in environment and energy policy. Born in Canada but raised in Trinidad and Tobago, he’s moved around more times than he can count. He’s worked for CBC in several provinces and territories, including Alberta and the Northwest Territories.

now