Environmental insurance—businesses
Produced in partnership with Duncan Spencer of EDIA Ltd
Environmental insurance—businesses

The following Environment practice note produced in partnership with Duncan Spencer of EDIA Ltd provides comprehensive and up to date legal information covering:

  • Environmental insurance—businesses
  • Gaps in public liability policies
  • Cover
  • What is not covered?
  • Selection of the policy
  • High risk and low risk activities
  • Policy term and premium
  • Information requirements

Environmental insurance—businesses

Environmental insurance is used to manage environmental risks, both for operational businesses and in many transactions and development projects.

For more on environmental insurance generally, please see Practice Notes:

  1. Environmental insurance—when is it needed?

  2. Environmental insurance—extent of coverage

  3. Environmental insurance—types

  4. Environmental insurance—advantages and disadvantages

Gaps in public liability policies

Standard insurance, such as public liability policies, do not provide adequate protection from environmental liabilities for businesses. This is because:

  1. cover is limited to 'sudden and accidental' releases only

  2. licensed discharges are not considered 'accidental'

  3. wear and tear is not considered 'sudden'—even if the pollution release was sudden

  4. although certain liability under the Environmental Liability Directive (ELD) and implementing regulations may be covered, some damage to fauna and flora would be excluded, and

  5. requests for remediation by statutory bodies are not considered to be a third party liability (for

Popular documents