Environmental Insurance Products Available for Brownfields

0,87

MB

Redevelopment, 2005

58

stron

2541

ID

Northern Kentucky University

2006

rok

Table of Contents

Executive Summary . 1

Chapter 1.0: Introduction and Methodology . 5

1.1 Overview of the Insurance Products . 5

1.2 Methods 6

1.3 Introductory Notes and Cautions 8

Chapter 2.0: Pollution Liability Policies 10

2.1 Coverages 11

2.11 Property Damage 13

2.12 Coverages for Known and Disclosed Pollution Conditions 14

2.13 Cleanup Coverages and Triggers for Newly Discovered Pollution Conditions . 15

2.14 Exclusions and Coverages for Particular Contaminants and Sources 16

2.2 Other Policy Characteristics . 17

2.21 Policy Periods . 17

2.22 Policy Dollar Limits, Premiums, Deductibles, and Self-Insured Retentions 20

2.3 Site Assessments . 22

2.4 Special Risks to Insurers . 23

2.5 The Need for Expertise 26

Chapter 3.0: Cost Cap Policies . 28

3.1 Coverages 28

3.2 Other Policy Characteristics . 29

3.21 Cleanup Costs and Policy Dollar Limits 30

3.22 Premiums, Self-Insured Retentions and Co-Insurance Participation . 31

3.23 Policy Periods . 34

3.3 Site Assessments . 34

3.4 Cost Cap Policies for Guaranteed Fixed Price Remediation Contracts . 35

3.5 Portfolios of Small Sites for Government-Led Programs . 36

Chapter 4.0: Other Brownfield Insurance Products 39

4.1 Pre-Funded Programs . 39

4.2 Secured Lender Policies . 41

4.3 Environmental Service Industry Policies . 43

4.4 Owner-Controlled Policies 44

4.5 Land Use Control Policy . 44

Chapter 5.0: Changes in Insurance Products, 1999 - 2005 . 45

5.1 Insurers in the Marketplace . 45

5.2 Policy Availability and Characteristics . 45

5.21 Pollution Liability Policies 46

5.22 Cost Cap Policies 49

5.23 Secured Lender Policies . 50

5.3 A Constantly Changing Market 51

References . 53