Pipes for the Trans Mountain pipeline project are seen at a storage facility near Hope, B.C., on September 1, 2020. THE CANADIAN PRESS/Jonathan Hayward

Pipes for the Trans Mountain pipeline project are seen at a storage facility near Hope, B.C., on September 1, 2020. THE CANADIAN PRESS/Jonathan Hayward

Insurance provider for Trans Mountain pipeline says it won’t renew policy

The decision by Argo Group comes after the operator for Trans Mountain received regulatory approval to protect the identity of its insurers

An insurance provider for the Trans Mountain pipeline said it will not renew its policy with the company when it expires in August.

Argo Group International Holdings Ltd., an international underwriter based in Bermuda, said the project no longer fits the company’s risk appetite.

“We currently insure the Trans Mountain pipeline, but do not intend to renew when the policy expires in August 2021,” spokesman David Snowden said.

“This type of project is not currently within Argo’s risk appetite.”

The decision by Argo Group comes after the operator for Trans Mountain received regulatory approval to protect the identity of its insurers.

Trans Mountain had argued that identifying its insurers could make it harder to get insurance at a reasonable price and prejudice its competitive position.

Underwriters such as Zurich Insurance Group AG have also dropped Trans Mountain as a possible client amid pressure from environmental and Indigenous groups opposed to the government-owned pipeline.

Environmental groups, such as the Sunrise Project, have been petitioning insurance providers to refuse coverage for Trans Mountain as a means to prevent its ability to operate.

In a statement, Trans Mountain said it currently has all the required insurance in place.

“Trans Mountain is committed to providing the Canada Energy Regulator with full information about our financial resourcing and ensuring Canadians know that we are sufficiently insured,” said a company spokeswoman.

Construction for the pipeline’s expansion project is ongoing and the company said it is on track to be completed by the end of 2022.

The federal government purchased the existing line in 2018 from Texas-based Kinder Morgan for $4.5 billion when the company threatened to walk away because of resistance to the project from the British Columbia government, environmentalists and some Indigenous groups.

The expansion will more than double the pipeline’s capacity from approximately 300,000 barrels per day to 890,000 barrels per day.

Like us on Facebook and follow us on Twitter.

Want to support local journalism? Make a donation here.

PipelineTrans Mountain pipeline

Just Posted

An old growth cedar stands in a cut-block within the Caycuse Valley. More than 100 prominent Canadians, have signed an open letter calling for the immediate protection of all remaining old-growth forests in B.C. (Submitted)
Brian Mulroney and Greta Thunberg among 100 celebrities pushing to save B.C. old growth

List includes Indigenous leaders, scientists, authors, Oscar winners

Tim Wilkinson, who will attempt a double anvil triathlon on Vancouver Island on July 3, poses with his training partner, Shadow, who has been dragged up and down the Nanaimo Parkway many times. (Submitted)
Vancouver Island triathlete takes on ‘double anvil’ for charity

7.6km swim, 360km bike ride, and 84.4km run, all within 36 hours

From left: Thomas Kuecks, David Lane, John Ivison, Denis Berger, Rod Gray, and James Kuecks are Cabin Fever. Catch their performance on the Cowichan Performing Arts Centre website. (Ashley Foot photo)
A&E column: Music Festival winners, CVAC awards, and Cabin Fever

The latest from the Cowichan Valley arts and entertainment community

BC Green Party leader and Cowichan Valley MLA Sonia Furstenau introduced a petition to the provincial legislature on Thursday calling for the end of old-growth logging in the province. (File photo)
Cowichan Valley MLA Furstenau introduces old-growth logging petition

BC Green Party calls for the end of old-growth logging as protests in Fairy Creek continue

People line up to get their COVID-19 vaccine at a vaccination centre, Thursday, June 10, 2021 in Montreal. THE CANADIAN PRESS/Ryan Remiorz
Vaccines, low COVID case counts increase Father’s Day hope, but risk is still there

Expert says people will have to do their own risk calculus before popping in on Papa

The border crossing into the United States is seen during the COVID-19 pandemic in Lacolle, Que. on Friday, February 12, 2021. THE CANADIAN PRESS/Paul Chiasson
U.S. border restrictions to remain in place until at least July 21

Safety minister says Canada, U.S. extending restrictions on non-essential international travel

The Co-op gas station at Whiskey Creek is burning after a camper van exploded while refueling just before 4 p.m. on Thursday, June 17, 2021. (FACEBOOK PHOTO)
Exploding camper van torches Highway 4 gas station between Qualicum Beach and Port Alberni

Highway traffic blocked after Whiskey Creek gas station erupts into flames

Cannabis bought in British Columbia (Ashley Wadhwani/Black Press Media)
Is it time to start thinking about greener ways to package cannabis?

Packaging suppliers are still figuring eco-friendly and affordable packaging options that fit the mandates of Cannabis Regulations

Helen Austin performing with Trent Freeman at the 2018 Vancouver Island MusicFest. Austin is one of the many performers listed for the 2021 event.
Vancouver Island MusicFest goes virtual for 2021

Black Press to stream 25 hours of programming July 9-11

Himalayan Life helped finance the construction of Nepal’s Yangri Academic Centre and dormitories after a 2015 earthquake devastated the valley, killing more than 9,000 people. (Screen grab/Peter Schaeublin)
B.C. charity founder pledges to rebuild Nepalese school swept away by flash floods

6 years after a catastrophic earthquake killed more than 9,000 people, Nepal gets hit again

Greater father involvement in the home leads to improved childhood development and increased marital satisfaction, says expert. (Black Press Media file photo)
Vancouver Island researcher finds lack of father involvement a drag on gender equality

Working women still taking on most child and household duties in Canada: UVic professor

FILE – A science class at L.A. Matheson Secondary in Surrey, B.C. on March 12, 2021. (Lauren Collins/Surrey Now Leader)
Teachers’ union wants more COVID transmission data as B.C. prepares for back-to-school

BCTF says that details will be important as province works on plan for September

Provincial health officer Dr. Bonnie Henry outlines B.C.’s COVID-19 restart plan, May 25, 2021, including larger gatherings and a possible easing of mandatory masks on July 1. (B.C. government photo)
B.C. records 120 new COVID-19 cases, second vaccines accelerating

Lower Pfizer deliveries for early July, Moderna shipments up

Most Read