Insurance Companies Suing ERCOT Over Winter Storm Damage

(Austin, TX) — More than 100 insurance companies are suing the Electric Reliability Council of Texas over February 2021 winter storm damage.

One report estimates that insurers were expected to pay more than ten-billion dollars in losses. The lawsuit alleges that ERCOT is responsible for the power failure last year that resulted in over 500-thousand insurance claims and 200 deaths.

A spokesperson with the Insurance Council of Texas said that such a wide-scale lawsuit is uncommon in Texas history, but similar action has been taken in other states.