Environmental Liability.

Environmental risk in companies has become a key issue, monitored and demanded by Public Administrations, as well as an important element for shareholders, clients, and the general public.

Improve Your Company's Environmental Risk Management and Get Specific Insurance to Cover These Risks

By law, companies are subject to Environmental Liability, which is not covered by conventional Civil Liability coverages.
This is an objective and independent liability mainly derived from Law 26/2007 on Environmental Liability.
Public Administrations are increasingly active in seeking and enforcing this liability, making it essential to have insurance coverage for it.

It is important to note that the legislation establishes some basic concepts for this liability, different from those of the Civil Code:

Environmental Damage: Damage to water, soil, riverbanks, estuaries, flora and fauna, habitats.
Objective Liability: The principle of “polluter pays,” meaning it is not necessary to prove intent or negligence. There is no need to prove wrongdoing.
Unlimited Repair Liability: Obligates the restoration of damaged resources and services to their initial or superior state (primary, complementary, and compensatory restoration).
Administrative Liability: It is up to the authorities to enforce Law 26/2007, and the Administration files the claims.
The legislation requires operators to report damages or imminent threats to the authority.

Environmental Liability and Indemnity Can Include the Following Costs:

PREVENTION: The damage has not occurred, but there is an imminent threat. Example: Retaining walls.
AVOIDANCE: The damage has already occurred, and new damage is prevented. Example: Emergency Plans.
REPAIR: Repair or restore the environment. Example: Bioremediation measures.

These coverages include important additional protections: transportation, cleaning costs of the site, accidental contamination, and information obligations to consider (such as underground or aerial tanks). This is why it is important to rely on an expert broker, like Peris, to ensure you receive expert advice and an adequate product.

Although our first step recommendation for companies that do not have it is to take out Environmental Liability insurance, some companies may be required by law to take out mandatory financial guarantee insurance (See Order ARM/1783/2011). To do this, they must generally conduct an Environmental Risk Analysis (ARMA) with a specialized company. Adhering to environmental management systems and audits (EMAS or ISO 14001) can ease this requirement. In any case, it is most common for the legislation to establish that there is no obligation for a financial guarantee, excluding the most serious but least likely accidents, but it can require objective and unlimited environmental liability for those same accidents, so it is vital to have specific Environmental Liability insurance.

We are present in many sectors:

Chemical Industry
Transport of Hazardous Materials
Construction, Cement, Aggregate Plants
Concrete
Waste Management
Energy
Industries
Agricultural and Livestock Sector
Maritime
See sectors in Order ARM/1783/2011

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Environmental Liability.

Improve Your Company's Environmental Risk Management and Get Specific Insurance to Cover These Risks

Contact Our Specialists in Company Solutions

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