EDWARDSVILLE — A railroad company is suing its insurer for allegedly denying its claim after several rail cars were stripped of wiring and electrical components.
Gateway Rail Services Inc., filed a complaint Oct. 1 in the Madison County Circuit Court against Allianz SE doing business as AGCS Marine Insurance Company, alleging breach of contract.
According to the complaint, the defendant provided insurance coverage for six of Gateway Rail's railway cars that were located at 3rd Street in Madison. The plaintiffs allege that on Jan. 24, 2020, the six railway cars were stripped of their wiring and electrical components, which resulted in a $1,200,000 loss.
Then on July 29, 2021, the defendant denied the plaintiff's insurance claim and refused to negotiate further with Gateway Rail Services regarding the claim. The plaintiff claims the defendant "wrongfully and in bad faith" failed to provide "an accurate basis" for denying the claim. It also claims the insurer failed to properly investigate the claim and "wrongfully, vexatiously, unreasonably and outrageously" refused to settle the claim in violation of Illinois law.
Gateway Rail seeks compensation of more than $50,000 and all other proper relief. They are represented by Van-Lear P. Eckert of The Law Office of Van-Lear P. Eckert PC in Belleville.
Madison County Circuit Court case number 21-L-001201