Jarvis, the maintenance contractor responsible for the upkeep of the tracks and points where the Potters Bar rail crash occurred, has confirmed the company's insurance is placed in the London Market and that it does have gross negligence cover.
Last week the company misled Insurance Times, saying it did not have gross corporate negligence cover.
But Jarvis broker Steve Solley of First City said the only exposure the company had was against criminal fines which were uninsurable. He reiterated that, as yet, the company had no liabilities.
According to reports, a Lloyd's syndicate owned by Newline Management Underwriting has taken the majority of Jarvis's public liability cover. Newline is the UK division of US-based Odyssey Re. The company declined to comment.
Jarvis suffered a rough week, with the speculation around its involvement in the crash, wiping 50% of the company's stock market value. In a letter to its shareholders, Jarvis said "sabotage could not be discounted" and also clarified "no maintenance had been carried out on the points in the previous 48 hours".
Solley said: "Jarvis is mystified as to what happened in that 48 hours."
He said deliberate attempts to sabotage the track had been logged by police in recent months.
A Jarvis spokesman said the company has two "hypothetical" liabilities. The company could be exposed by incorrect management procedures or by the negligence of a member of the operating staff.
"Neither of these seems plausible," he said.
