Contractors like you understand that the business of building comes with several operational risks. Active work zones can be dangerous due to the presence of heavy machinery, power tools and difficult conditions. You manage these risks proactively through safety planning and insurance policies that address these exposures. Common coverages include workers’ compensation and general liability. While you might think these policies are sufficient, there are other hazards to consider, such as pollution and exposure to harmful chemicals.
Understanding Pollution Liability
With most construction projects, there’s some risk related to pollution. General liability policies usually exclude pollution and workers’ compensation plans only cover employees. An environmental spill could pose harm to owners’ representatives, third parties and other personnel. A policy for pollution liability offers these protections:
- Third-party injury or property damage due to a spill or exposure
- Costs associated with cleanup
- Defense against lawsuits
- Exposure to contaminants
- Coverage of work by subcontractors
Pollution liability for contractors should be a part of your overall approach, not an afterthought.
Coming Up With a Plan
When it comes to exposure to toxic substances and pollution, you need to have a plan in advance. Some clients have strict contractual requirements when it comes to pollution. A comprehensive plan protects you, your people and your business.