Posts Tagged ‘Pollutant’

Hazardous Coal Ash Sites: A Serious Environmental Risk

Thursday, October 1st, 2009

The EPA recently released a list of over 40 “high hazard potential” sites around the country that contain coal combustion residuals, commonly referred to as coal ash. This substance is a product of burning coal and is often stored in containment ponds or dams near electrical utilities. As coal ash leaches into the soil and spills into areas surrounding these facilities, there can be serious ramifications on human health and the environment. These storage ponds hold fly ash, bottom ash, coal slag, and flue gas residues that contain toxic metals such as mercury, arsenic, selenium, cadmium, and lead—all potentially toxic to people and wildlife.

Due to several recent coal ash spills, the EPA and other federal regulatory agencies are cracking down on the assessment, maintenance, and clean up of coal ash storage ponds in the U.S. These agencies will review the information provided by the facilities to identify issues that need priority attention, and will also visit many of these facilities to see if the management units are structurally sound.  The top five states that are home to these “high hazard potential” sites include: North Carolina, Arizona, Kentucky, Ohio, and West Virginia.

Although the risks associated with hazardous coal ash sites can be devastating to the communities surrounding them, this is an opportunity for our government to take a more active role in making sure electrical (and other energy) utility sites are operating responsibly. This is also an opportunity for you to assist your clients—those who operate energy utilities as well as contractors who may be hired to clean them up—and make sure they have adequate environmental insurance. Take this opportunity to help your clients protect themselves from a potentially disastrous financial loss and secure the future of their businesses and workforces.

Contact Beacon Hill Associates, Inc. today for more information and applications.

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Combined Coverages for Environmental Facilities

Tuesday, September 1st, 2009

You may have heard that several industries anticipate a monetary payout from the impending economic stimulus legislations to be used for upgrades, improvements, and overall growth. One of the groups that will benefit from these funds funneling into the market is environmental facilities—landfills, recycling centers, wastewater treatment facilities, transfer stations, and alternative energy production plants.

As we all know, pollution coverage is generally excluded from a standard General Liability policy. Obvious exposures that affect environmental facilities include, but are not limited to: chemical leaks from onsite containers/tanks, toxic fumes emitted into the air, and untreated wastewater discharged into the public drinking water supply. However, pollutants are not always hazardous! A pollutant includes dust that can be kicked up by vehicles entering/leaving a landfill or wastewater run-off into a nearby stream. Even foul odors from transfer stations can require action, should a 3rd party make a claim.

A combined General Liability/Site Pollution Liability policy provides the best protection for environmental facilities, and is potentially the most cost effective solution as well.  The pollution exclusion via the General Liability form is adequately addressed by the addition of Site Pollution Liability coverage; therefore, these facilities and their neighbors (like you and I) can all breathe a bit easier.

Available enhancements to packaged coverage for environmental facilities:

  • - Packages can add Contractors Pollution Liability/ Professional Liability (Applies if insured is performing any contracting/consulting work offsite for clients; CGL coverage part excludes pollution and professional liability, creating a gap in coverage.)
  • - Transportation Pollution Liability for any over the road exposure
  • - Blanket Additional Insured and Waiver of Subrogation
  • - Separate Follow form Excess policy available.
  • - Separate Business Auto policy for insured’s fleet available for both hazardous and non-hazardous hauling exposures.

Help your environmental facility clients allocate some of their stimulus money to purchase coverage that will protect them in the long run. The bottom line is that facility owners simply can’t afford to forego environmental insurance when a potential claim may make their financial outlook even more fragile.

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