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Lake Okanagan Resort Sues Broker Over Insurance Gaps After 2023 Wildfire

The suit cites uncovered utilities as the obstacle to restarting construction.

The McDougall Creek wildfire burns on the mountainside above lakefront homes in West Kelowna, B.C., on Friday, Aug. 18, 2023. THE CANADIAN PRESS/Darryl Dyck
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Overview

  • Lake Okanagan Resort and a related holding company filed a notice of civil claim in B.C. Supreme Court last week.
  • The claim names Western Financial Group and alleges the broker failed to flag potential gaps in coverage.
  • Plaintiffs say their policies covered the property, liability, marina and gas bar, plus environmental impairment, but excluded utilities.
  • They allege the Aug. 2023 McDougall Creek wildfire destroyed most buildings and site utilities, leaving surviving structures unusable without water, sewage or electricity.
  • The allegations have not been tested in court, and Western Financial had not filed a response when the suit became public.