Calhoun blast loss: $6 million [Chattanooga Times Free Press, Tenn.] - Insurance News | InsuranceNewsNet

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May 14, 2010 Newswires
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Calhoun blast loss: $6 million [Chattanooga Times Free Press, Tenn.]

May 14--By Pam Sohn and Amy Zajac

CALHOUN, Ga. -- A house explosion in Calhoun last month caused an estimated $6 million in insured losses in an upscale subdivision, Insurance and Safety Fire Commissioner John W. Oxendine said Thursday.

"These are the latest figures from companies insuring property in the blast area," Mr. Oxendine said in a statement.

An investigation into the cause of the April 16 explosion that destroyed at least eight homes and damaged about 60 is on hold while insurance investigators from various companies align their schedules.

Calhoun Deputy Fire Chief Terry Mills and Mr. Oxendine's spokesman, Glenn Allen, said insurers hope to set a date in June to continue their probe. The lead insurer wants representatives from all of the involved insurance companies present, they said.

Officials believe a natural gas leak caused the blast that essentially vaporized the three-story home in the Saddlebrook neighborhood. Windows were broken in homes as far as half a mile away.

Alan Chapple, spokesman for AGL Resources, the parent company of Atlanta Gas Light and Chattanooga Gas companies, said he had no comment on the cost estimate.

He said the gas company's special investigation team had completed its work at the site.

"Our investigation was to determine whether our pipes going to the house had any relationship to the explosion. And all of our pipes were fine," he said. "Now we're waiting (for the state and insurance) investigation just as you are."

Toni Reid, whose home is on Saddle Mountain Drive, has been living in a hotel and a newly rented condominium. She said she learned Thursday that her house could be saved for an estimated $75,000.

"This is the first day of repairs," she said, adding that roofers came out as soon as the insurance company OK'd the work.

"Our house structure is sound, but every room in our house needs to be redone. Sheetrock needs to be replaced throughout the whole house, because the nails have popped out through the Sheetrock. The garage door needs to be replaced.

"We just really want to know what happened," she said.

Calhoun Police Department Detective Tony Pyle said the blast site continues to have round-the-clock guards to keep the scene secure.

"This added security is paid for by the insurance companies," he said.

Amy Zajac is based in Calhoun, Ga. Contact her at [email protected].

To see more of the Chattanooga Times Free Press, or to subscribe to the newspaper, go to http://www.timesfreepress.com.

Copyright (c) 2010, Chattanooga Times Free Press, Tenn.

Distributed by McClatchy-Tribune Information Services.

For reprints, email [email protected], call 800-374-7985 or 847-635-6550, send a fax to 847-635-6968, or write to The Permissions Group Inc., 1247 Milwaukee Ave., Suite 303, Glenview, IL 60025, USA.

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