Pollution Liability Insurance
Pollution liability insurance coverage is not talked about, but a loss could be devastating to your business.
Businesses of all types need to be concerned of their exposure to pollution liability. Your general liability insurance policy and commercial auto insurance policies exclude most pollution claims. This is because pollution claims generally occur over a period of time. Besides the cost to repair, cleanup and injury or death can result from a pollution liability insurance claim.
Contractors need to be especially concerned about pollution because of the regulations being imposed by the EPA regarding Asbestos and lead paint removal.
Contractors Pollution Liability Insurance is a protection that protects contractors from a variety of pollution risks that occur at construction projects. It can also provide coverage against pollution caused by the insured contractor and work performed by their subcontractors. Mold damage is one of the largest factors that affect contractors. Some contractors that need to consider contractors pollution liability are general contractors, home builders, construction managers. In addition, trade contractors such as mechanical, roofing, landscapers, water proofers and mechanical and plumbing contractors to name a few as well as restoration contractors.
Types of Contractors Pollution Liability Exposure:
- Maintenance errors from heating, ventilation and air conditioning can result in release of airborne bacteria or carbon monoxide
- Lubricant oils and other fluids from equipment
- Completed operations, including spills or emissions due to incomplete line hook-ups, improper systems construction
- Development of mold or fungus from incorrect installations, piping or HVAC errors, wet materials, or improper sealing procedures from water intrusion
- Over spray of paint or roofing material causing noxious fumes
- Disposing of items containing PFAS (Per- and polyfluoroalkyl substances). PFAS is a very hot topic these days. There are numerous lawsuits going on that will shape the legal landscape for this topic for years to come.
In addition to contractors, marinas, lessors’ of commercial properties, auto dealerships and repair, dry cleaners, golf courses and health care business all may consider a site pollution policy. A site pollution insurance policy protects against pollution incidents that occur at a specific address. The policy can provide both 1st and 3rd party benefits.
Potential Exposures for Site Pollution Liability:
- Ground water contamination
- Spills & seepage from their operation
- Release of chemicals stored on property
Storage tank liability is another type of pollution liability exposure. Storage tanks can be either underground (UST) or above ground (AST) storage tanks. Typically any one that is storing oil, gas, or other pollutions in a tank are in need of this coverage, this may include golf courses, marinas, recyclers and warehouses.
Potential Exposure for Storage Tanks Liability:
- Leakage of the tank causing ground water contamination
Transportation Pollution Liability provides coverage if pollution occurs during the operation of transporting items.
Potential Exposures for Transportation Pollution:
- Overturned vehicles can result in contamination of local water supply
- Spills resulting in clean up and remediation
In addition, you can purchase coverage for pollution at non owned dumping sites as well. Electronics recyclers are in need of this coverage.
Huff Insurance is here to help you with all of your pollution insurance needs. Call us now at 410-647-1111. Pollution exposures extend over several different types of business operations.
Spills Do Happen! Would You Be Covered?
