Blasted Nord Stream 1 gas pipeline faces insurance dilemma

Underwriters may dispute any claim on the grounds that the damage was an act of self-sabotage, or of war, neither of which are generally covered by insurance.

The landfall facility of the Nord Stream 1 Baltic Sea pipeline in Lubmin, Germany

With the mystery of the blasts that destroyed undersea gas pipelines between Russia and Germany unsolved, Nord Stream 1's insurers and reinsurers are grappling with how to respond to hundreds of millions of euros in potential claims.

Munich Re and syndicates within the Lloyd's of London market are among the major underwriters for Nord Stream 1, industry sources with knowledge of the situation said, adding that it was unclear whether they would renew its cover.