Businesses that handle hazardous materials must invest in the right pollution liability insurance to protect themselves. Many problems plague the earth, but few are more urgent than the pollution crisis. According to statistics, air pollution alone costs $8.1 trillion in a given year, and other types of pollution can be even more detrimental.
Pollution Liability Insurance and How It Helps Your Business
Read on to find out why a company should consider pollution liability insurance and learn about the different types of coverage available.
Benefits of Pollution Liability Insurance
Many companies mistakenly assume that they do not need pollution liability, but nearly any business can benefit from this kind of coverage. Pollution coverage offers several advantages, including minimized out-of-pocket costs during a pollution event. It can also cover the expenses associated with claims from third parties who may sustain injuries or property damage due to the pollution. Most importantly, coverage typically includes the costs of cleanup efforts in the aftermath of the incident.
Pollutions Legal Liability or Site Pollution
Legal liability coverage is one of the most common types of pollution liability insurance. This policy addresses the risk of litigation that may emerge after a pollution incident. Unlike other types of pollution liability that insure only the business responsible for the event, pollution liability coverage extends to the owner or lessor of a property where pollution may occur. It is vital protection if your company leases a facility to another business that handles hazardous materials or poses a potential risk of pollution.
Contractor’s Pollution Liability
It’s easy to blame pollution on apparent offenders, such as the oil or energy industries, but in reality, any business can cause pollution if it is negligent. The construction sector, for example, may be responsible for pollution that happens when the soil gets contaminated or harmful chemicals seep into the groundwater. In such cases, a contractor’s pollution liability insurance protects against potential fallout and risks such as cleanup costs, litigation, and bodily injury claims. Every construction professional should invest in this type of insurance.
Customized Project Coverage
In addition to contractors’ pollution liability insurance, it may be necessary to invest in a customized insurance policy that accounts for the unique risks an individual development entails. Large-scale projects such as stadiums and business centers often have a significant environmental impact on the surrounding communities. In some cases, that impact includes pollution problems. A project-specific pollution policy offers an additional layer of protection that covers the duration of the development.
Invest in Pollution Liability Insurance
Every business is responsible for preventing pollution by acting with care and diligence. Unfortunately, accidents happen, and they can never eliminate the risk of pollution. To account for this possibility, you should invest in a pollution liability insurance policy and implement a prevention plan. Switching to less hazardous materials or conducting regular pollution audits may minimize the possibility that your company must file a claim with your pollution coverage insurer.
About Haughn & Associates
Founded by Michael Haughn in 1986, Haughn & Associates is a full-service, family-owned, independent insurance agency based out of Dublin, Ohio. H&A strives to provide the best possible price and unique insurance solutions across a myriad of industries, including construction, IT, Habitation & Commercial Property, Agriculture, and Engineering. Devoted to providing the best of business insurance, life and disability insurance, personal insurance, employee benefits, and bonds, H&A is proof that success lies in long-standing client relations and satisfaction. To learn more about how H&A can be of service to you, contact us at (877) 802-2278.
