Site owners of liability insurers: who should pay for cleaning up hazardous waste

Journal Article · · Va. J. Nat. Resour. Law; (United States)

OSTI ID:6258925

Cheek, L III

Despite these standard exclusions in comprehensive liability insurance policies, a number of courts have held that insurers must nevertheless reimburse their insured for the costs of injuries resulting from gradual rather than sudden occurrences, and for cleaning up the insured's own property. Insurance companies, naturally, object to taking on such unexpected and unbargained for costs. The issue of insurance coverage for hazardous waste cleanup costs is far from being resolved; there are judicial opinions supporting both the insurance companies and their policyholders. Since the number of sites requiring cleanup is increasing, and the cost of such cleanup is also rising, the stakes in the dispute are reaching enormous proportions. If insurance coverage is found not to cover such costs, many site owners will be forced into bankruptcy. If insurance companies must cover all such liabilities, they too will be bankrupted. There is no indication that Congress or the Supreme Court is likely to resolve the problem in the foreseeable future. It is therefore up to PRPs and the insurance industry to voluntarily develop a cooperative plan for allocating the costs of hazardous waste cleanup.

• OSTI ID: 6258925
• Journal Information: Va. J. Nat. Resour. Law; (United States), Journal Name: Va. J. Nat. Resour. Law; (United States) Vol. 8:1; ISSN VJNLD
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
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510600* -- Environment
Terrestrial-- Regulations-- (-1989)
520600 -- Environment
Aquatic-- Regulations -- (-1989)
54 ENVIRONMENTAL SCIENCES
ABANDONED SITES
ALLOCATIONS
COST
HAZARDOUS MATERIALS
INSURANCE
LAWS
LEGAL ASPECTS
LIABILITIES
MANAGEMENT
MATERIALS
POLLUTION LAWS
REMEDIAL ACTION
SUPERFUND
WASTE DISPOSAL
WASTE MANAGEMENT