Pollution liabilities can impact almost all business types – and if not properly protected, the financial consequence of a loss could cost millions of dollars. Clean up expenses, litigation and fees add up quickly; and that doesn’t even factor in the risk to professional reputation and public image.
It is essential that your commercial clients are properly covered in the event of an unexpected pollution liability claim. A common misconception is that pollution liability is covered under a general liability policy. However, those policies rarely cover clean up expenses, remediation and litigation resulting from pollution.
Ordinary operations such as residential developments, shopping centers, office parks, warehouses, and manufacturing plants often get overlooked. Take an apartment complex for example – on the surface, you wouldn’t expect a pollution exposure. The reality is they may have environmental risks from underground heating oil tanks, lawn fertilizers or chemicals stored on site for swimming pool maintenance.
To get the full picture of your client’s coverage needs, consider their business operations and risks in these areas:
- Jobsite pollution liability
- Supply chain and transportation exposure
- Mold, fungi or other contaminants
- Exposure related to work performed by contractors
- Specific risks for a particular site, project or piece of property
Assess how these areas create exposure and identify what the likely expenses might be from any risks. Next, build a policy with coverages that match the scope and specific needs of the business.
There are several essential coverage features to make sure your policy includes: bodily injury, cleanup expenses, damage to property and litigation costs. These areas typically create the most exposure when a claim occurs.
Contact MJ Kelly’s team of expert underwriters to build the most competitive and comprehensive insurance solution for your clients’ unique needs.