CEO Rescinds Pledge That Insurer Will Fix Homes Damaged In Houston Explosion

  Friday, January 31st, 2020 Source: InsuranceNewsNet

The head of a company involved in a massive explosion in Houston that killed two workers and injured 20 others on Tuesday backtracked on a pledge he had made earlier in the day to fix the hundreds of structures damaged by the blast.

John Watson, who is the CEO of Watson Grinding and Manufacturing, had told KTRK-TV on Tuesday, “I will repair all the damaged homes ... My insurance company will.”

City officials say 450 structures, mostly homes, were damaged after the explosion early Friday at a warehouse at Watson Grinding and Manufacturing. Most of the homes, 358, had minor damage. But 35 had major damage.

However, later Tuesday, Watson issued a statement taking back his earlier comments, saying, “At this point, it is premature for the insurers to make any decisions with regard to payment from this tragic incident.”

“To correct comments I made earlier today, no claims process has been established at this time. Who is at fault and who will pay for damages cannot be determined at this early stage,” Watson said.

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