Pollution Liability

Many companies perform work at job sites of other locations to meet the needs of clients. That work might include construction, demolition, mining or other related activities. These businesses must properly manage the risk of generating pollution. Pollution liability insurance can protect the company against risks related to this type of work.

Pollution liability insurance can protect a firm from claims based on client exposure to pollution. This exposure can occur during the transportation or disposal of pollution. A customer may pursue legal action, if they believe that they were harmed due to pollution exposure. This type of policy can protect a company from claims of physical injury, property damage and clean up costs incurred by a client.

Assume a construction company is building a commercial office building on a property that had previously operated a gas station. A construction contract requires the firm to remove gas storage tanks that are in the ground. After the building is constructed, the new occupants claim that chemical pollution from the storage tanks made them ill. The building owner sues the construction company, claiming that the firm removed the storage tanks improperly, causing the pollution exposure.

If the construction company has pollution liability insurance, that policy may pay for the cost of legal defense. The policy may also pay for any damages awarded, up to limits stated in the policy.

To determine if pollution liability insurance is a need for your firm, answer these questions:

• Do you perform work for clients at job sites?
• Does your work include construction, demolition, mining or other related activities?
• Are you required to transport or dispose of hazardous material, or material that may cause pollution?
• In your work, are you required to perform extensive clean up on job sites after your work is completed?
• Do you hire engineers, scientists or other experts to assess whether or not you have handled pollution issues adequately?
• Do you work with government agencies that regulate environmental issues?

These answers may indicate that pollution liability insurance is a need for you. If so, we can help. Our professional staff can discuss your firm’s specific needs and generate a pollution insurance quote for you. That quote will detail the situations covered by the policy, and the dollar amount of coverage. Request a free quote.