P&GE’s Problems Could Spill Over to Other Utilities
The utility faces lawsuits from property owners and insurers that allege poor upkeep of its transmission lines which caused the fires.
“PG&E’s financial problems could affect other utilities insurance programs,” Aram said. “I would not be surprised if insurers look at PG&E’s situation and be concerned other utilities might have to go through the same process, either because of climate change or drought, and that it affects their underwriting. Once PG&E files in bankruptcy court, the utility will be required to provide a detailed accounting of its assets and liabilities, including its insurance policies.”
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