Metropolitan Council approves $2.6 million insurance renewal for Northstar commuter rail

The Metropolitan Council on May 28 authorized renewal of railroad liability insurance for Northstar commuter rail effective June 1, 2025, to June 1, 2026, in an amount not to exceed $2,600,000.

Council member Johnson, who presented the management committee recommendation, said the council "is required to procure and maintain railroad insurance that provides coverage for liability arising from Northstar operations, which includes both commuter rail passenger service and Northstar premises facilities, and that totals $323,000,000." The renewal was approved as recommended by the management committee.

The council record says staff worked with insurance underwriters to provide coverage now and to include options to revisit pricing once passenger service in the corridor ends. Johnson said that if the risk profile changes — for example, when there are no longer passengers but there remain premises and facilities — staff will renegotiate with BNSF and the underwriters to adjust limits and pricing to reflect the new exposures.

Ned Smith and other staff were thanked during the meeting for their work with underwriters and BNSF on the complex coverage. No public comment was recorded on this item. The chair called for the motion, it was seconded, and the motion carried.

The renewal keeps an existing layer of liability protection in place while the council pursues changes to service and associated exposures. The council did not provide a recorded roll-call tally in the meeting transcript for the vote.