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by Mike Caswell

Trevali Mining Corp., a former Toronto Stock Exchange listing that collapsed in 2022 amidst operational problems, has filed a lawsuit in the Supreme Court of British Columbia against its insurance broker, claiming that the broker failed to properly design policies to protect the company's Perkoa mine in Burkina Faso. The mine suffered catastrophic flooding after a high-intensity storm in 2022. Trevali says that it made an insurance claim after the failure, but that claim was rejected as a result of negligence by its insurance broker.

The allegations are contained in a notice of claim filed at the Vancouver courthouse on Friday, July 24, on behalf of Trevali by a court-appointed monitor. The sole defendant is Willis Canada Inc., an insurance broker with an office in Vancouver.

The events at issue, as set out in the suit, go back to Aug. 17, 2019, when Trevali hired Willis to determine its insurance needs. The firm represented itself as "an experienced, professional and qualified insurance broker, including in the provision of advice in relation to the placement and transfer of insurance for Trevali in relation to all its operations," the suit states. Trevali says that it relied on Willis's experience, expertise and knowledge to provide adequate insurance coverage.

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