On Thursday, Sept. 22 VML Insurance Programs (VMLIP) Director of Property & Liability Claims, Chuck Finley, delivered a check for $982,259 to the Town of Bedford.
The town’s Snowden Hydroelectric Facility, developed in 1911, was equipped with speed increasers built by Philadelphia Gear in 1987. This January, one of the units suffered a mechanical breakdown and the internal gear box was damaged. The unit was able to continue functioning, but only at 75 percent of capacity.
After working with a mechanical engineer, the town decided to have the unit repaired at a cost of $650,000. Additionally, VMLIP’s extra expense coverage provided for the loss of income to the town while the unit was functioning at reduced capacity.
The receipt of the claims check also received local media attention.
“We would have had to pass this along to our customers, but as a result of our partnership with the Virginia Municipal League [VML Insurance Programs] it worked out well for us and we don’t have to pass this along to customers now,” Sonia Jammes, director of finance for the Town of Bedford was quoted by WBJD 7.
All totaled, the claim was closed for nearly $1 million, a testament to the financial strength members can rely upon when purchasing coverage from VMLIP.