You might not realize it, but pollution is possible in just about any industry. As a business owner, you owe it to your customers and yourself to carry pollution liability coverage particularly if your business works with chemicals or toxins. Part of getting the coverage is understanding exactly what it protects against.
The first thing that you think about is probably how much it costs to clean up a toxic spill or pollution. The clean-up process is extremely expensive and time-consuming. If the law requires you to clean the contaminants, this policy can help.
If you are involved in a pollution-related lawsuit, your legal fees can quickly become unmanageable. When you are covered by pollution liability insurance, your defense is covered.
Accidents and Oversights
If you use any toxic chemicals or hazardous materials, the insurance covers you when you or someone you work for causes an injury or spill. This covers both catastrophic and noncatastrophic issues.
Errors and Omissions
Errors and omissions liability insurance is specific to those in the environmental cleanup and consulting business. It covers them if they make an error or accidentally omit something on a pollution assessment or report.
Transfer of Property
If you purchase polluted property, this section covers detoxification of the property if a previous owner contaminated it. Since clean-up is expensive, this can help offset the cost.
In each instance, without pollution insurance, you would have to cover the whole cost. It is better to be covered than forced to pay thousands in cleanup costs.