(Reuters) – Chubb, the insurer of the Francis Scott Key Bridge in Baltimore that collapsed in March, is preparing to pay $350 million in damages to the state of Maryland, The Wall Street Journal reported on Thursday.
The report said the payment is expected to be approved within weeks, citing a statement from Henry Darr, head of North American property claims for WTW, the bridge broker.
The $350 million could be the first of many payouts related to the disaster that analysts said could cost insurers up to $4 billion, making it a record loss in shipping insurance.
The tragedy, which claimed the lives of six people, occurred after a Singapore-flagged container ship collided with the historic bridge.
Chubb (NYSE:), along with the state of Maryland and the families of the accident victims, will likely sue the shipowner and others to recoup losses from the accident, according to a Wall Street Journal report.
Chubb declined to comment, while WTW did not immediately respond to a Reuters request for comment.