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Even though favorable state and federal voluntary clean-up laws can minimize environmental liability risks in contaminated property redevelopment, these risks cannot be eliminated entirely. At both levels, agreements between regulators and owners/operators of properties provide liability protection against conditions that have been assessed and ultimately remediated. Areas that remain open and sources of potential future liability under state and federal environmental laws include new found contaminants and conditions exacerbated or created during remediation and future contamination.
Additionally, liability protection from the government does not eliminate the possibility of third-party claims for bodily injury, property damage and clean-up costs arising out of pollution conditions at or emanating from the ownerÕs/operatorÕs site. Such actions may be due to conditions that are unknown and pre-existing conditions excerbated or created in the remediation process and conditions arising from future operations.
The potential for environmental liability risks that fall outside governmental protections can undermine the economic viability of remediating a contaminated property. By assessing the extent of environmental risks, owners/operators can decide whether the entiry can retain such risks or if such risks should be transferred to another entity. In a redevelopment environment, property owners or developers often address currently known environmental conditions that are subject to a remedial plan while they simultaneously protect themselves against not clean-up costs but also legal liability or tort liability from known or unknown pollution conditions.
With one policy in place - the Pollution Legal Liability/Clean-up Cost Cap program can protect the corporation against liability risks that arise out of unknown pre-existing contaminants, conditions exacerbated or created during remediation, and future contamination. By transferring such risks to an insurer, the owner/operator can bring greater certainty to its financial obligations in remediating, developing and operating a contaminated site.
Typical Classes
• Owners, Buyers, Seller or Owners of Contaminated Properties
• Brownfields Developers
• Investors
• Property Managers
• Potentially Responsible Parties (PRPs)
• Remedial Contractors
Features & Options
• The PLL/CCC policy provides a single source solution to owners or developers that face both current contamination operational exposures, and legal liability resulting from known conditions.
• The PLL/CCC policy is an efficient way to cover shorter-term or small scope clean-up projects by not requiring the Insurer to negotiate, manage, or monitor a separate mono-line insurance policy for this exposure.
• The PLL/CCC policy responds to governmental re-openers and new found contamination discovered outside the area of the defined remedial plan. This coverage is provided under the third-party liability coverage options.
• Effective tool to fill the third-party liability gap in governmental voluntary clean-up programs liability releases or other governmental liability release for environmental conditions.
• Effective tool to replace and support indemnification liability in contaminated property transfers and help close transactions.
• Effective way to insure developers from unknown liabilities that could halt a project.
Products
• Pollution Legal Liability
  
• Clean-up Cost Cap
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