Everyday risks for an environmental contractor consist of many dangerous exposures that can lead to lawsuits. The environmental contractor’s world can be a hazardous one, and one small slip-up can cause bodily injury to others and even an environmental event. The risks are not small, and the resulting liability lawsuits can add up to millions in damages without the proper liability insurance coverage.
What are some of the everyday liability exposures faced by environmental contractors?
Subcontractors
When environmental contractors sub out work, they must make sure those subcontractors are properly insured and follow the same safety precautions and standards of care the contractor requires of their own employees. The subcontractor’s actions can become a liability exposure. Never assume the subcontractor is properly insured without seeing proof of coverage. Even if the subcontractor is insured, it may not be adequate, so it is very important to check any subcontractor’s limits of coverage as well.
Release of hazardous materials
Improper disposal of hazardous materials can lead to civil action or even criminal charges. Improper classification of hazardous materials (such as mislabeling a drum as “empty” when it contains potentially hazardous contents) can lead to the release of chemicals into the ground, causing soil contamination and pollution of drinking water. This can potentially negatively affect the health of thousands within a community.
Natural disasters
In environmental consulting, the consultant may be asked to provide designs for a residential/commercial development. If a natural disaster, such as a landslide, should occur while the project is being completed and surrounding property is damaged, the environmental consultant can be sued for failing to provide proper designs to withstand such a natural disaster.
C&S Specialty Underwriters understands the unique risks faced by environmental contractors. Mistakes on the jobsite, intentional or not, can lead to legal action. Let us help protect your environmental contractor clients with a liability insurance package specifically designed for them. Contact us and we’ll be glad to go over all the coverage options.
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