Pollution Liability Insurance

What's on this Page

• Overview
  • Policy Forms
  • What Should Be Covered
  • Coverage Trigger
• Contractors Pollution Liability Insurance
  • Important Coverages and Endorsements Required by County
• Premises Pollution Liability Insurance
  • Important Features to Be Included
• Coverage for Additional Insureds: Funding Sources & Grantors of Easements

Return to User Manual Table of Contents

Read next: Professional Liability - Errors & Omissions Insurance

Overview

Policy Forms

• Non standard – will vary from insurer to insurer.
• Contractors Pollution Liability (CPL) Insurance: Covers contractors for pollution claims at or from job sites.
• Premises Pollution Liability (PPL) Insurance: Covers property owners, managers and operators for pollution claims at, or from, sites they own, manage or operate.
• Some contracts may need a combination of CPL and PPL.

What Should Be Covered

• Losses arising from pollutants including, but not limited to, fungus, bacteria, asbestos, lead, silica, and contaminated drywall.
• Bodily injury, sickness, disease, sustained by any person, including death.
• Property damage, including damage to tangible property and the resulting loss of use it.
• Cleanup costs.
• Loss of use of tangible property that has not been physically injured.
• Damage to natural resources.
• Emergency response costs.

Coverage Trigger

• Some pollution liability policies are on an occurrence basis.
• Others are on a claims-made basis. 

Back to top

Contractors Pollution Liability Insurance

Important Coverages and Endorsements Required by County

• Third-party claims for bodily injury, property damage, and cleanup arising from the contractor’s covered operations.
• Coverage for ongoing and completed operations.
• Additional insured status for both ongoing and completed operations.
• Insurance, including additional insured status for completed operations continued after completion of work.  This applies to both occurrence and claims-made policies.
• Primary & non-contributory coverage for additional insureds. This is important because our pollution liability policy is a commercial insurance policy and not a Memorandum of Coverage issued by a public agency risk sharing pool.
• Contractual liability insurance. Policies take different approaches:
  • Some insurers include it;
  • Some exclude it, but will endorse it for specific designated contracts;
  • Some exclude it with no buy-back. 
• Coverage for inter-insured suits.
• Waiver of subrogation in favor of all additional insureds.

Back to top

Premises Pollution Liability Insurance

Important Features to Be Included

• Third-party claims for bodily injury, property damage, and cleanup arising from pollution conditions on, at, under, or migrating from a covered location.
• First-party on-site cleanup for pollution conditions.
• Should cover sudden and accidental and non-sudden/gradual pollution events.
• Should cover all locations specified in the agreement.
• Additional insured status for us.
• Primary & non-contributory coverage for additional insureds.  This is important because our pollution liability policy is a commercial insurance policy and not a Memorandum of Coverage issued by a public agency risk sharing pool.
• Lead, asbestos and mold are usually excluded, but might be available by endorsement.
• Waiver of subrogation in favor of all additional insureds.

Coverage for Additional Insureds: Funding Sources & Grantors of Easements

Start here: See Isolation Valves Project

Back to top