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Is there any coverage for oil?
What about the new EPA lead regulations that went into effect for home built before 1978?

I don't know if it would be covered or no. I would guess in most cases it would not or at least the carrier would initally say no. But a wide spread contamination would be required to be cleaned up by the EPA so if the carrier didn't it may be on BP to pay for it. Someone would have to pay for it and it may years before it is settled

Posted By ALANJ on 16 May 2010 10:19 PM
Is there any coverage for oil?
What about the new EPA lead regulations that went into effect for home built before 1978?

trees lawns and plants are excepted property for windstorm. If the oil globs are on the siding from wind alone it should be cleaned off and repainted, just like like large globs of brown pelican poop caught in the wind. (something I have not seen in my entire career). Treat oil that is deposted on insured property just like you do mold, clean it off and paint or throw the unclean material in the dumpster headed for the trash pile. What happens if the hurricane winds depost sperm whale poop on the siding, cean it off. No I do do not know the code or the unit price, call Orem Utah, they know everthing or Blackmon mooring.

Oil seeping into property or carried by the wind as smog or whatever might be pollution, but if it was carried by a named peril, wouldn't the proximate cause be the named peril rather than the oil? If the wind blows pieces of broken roof tile into a property, the peril is wind...not broken tile. Right?

The first coverage consideration may be whether or not the crude oil, a naturally occuring substance, is a "pollutant". If it is considered a pollutant and the policy excludes damage due to pollutants, you may nou have coverage for cleaning it off structures or additional costs for debris removal. When you can separate damage caused by a covered peril from that of an excluded peril, the damage due to the excluded peril is probably not covered. Even though the wind carries the oil to the building, the damage is due to the oil: not the wind, unless there is direct wind damage to the building.

Another very significant issue will be ALE claims in personal lines and business income claims in commercial. Don't be surprised if some of these claims are handled differently in different states, especially Louisiana, due insurance department decisions.

As far as debris removal goes, most policies only cover removal of "covered property" damaged by a covered peril. That would not include removal of oil by itself.

Lawyers already have a two day conference set up in Atlanta to discuss oil spill litigation and insurance claims. I'm sure that there will be training available for adjusters as the situation developes.

When NFIP rules the removal of diesel  or heating oil is part of a flood loss that was brought in  by the flood waters, why would wind carriers try to say it was not brought in by wind and did direct  damage if it did. I t don,t think the oil haze on the dwelling that you can not see, but has contaminated the house and may cause injuries to the occupants health, WILL EVER GET OFF THE GROUND, like mold did 1999-2003

I agree with Ray. First cause would be explosion, then wind (or flood). Seems oil would be pollution unless the"migration" or "dispersal" of it was from named peril.

From HO 00 03 10 00

Sec I A 2. We do not insure, however, for loss: c. Caused by: (6) Any of the following:

(e) Discharge, dispersal, seepage, migration, release or escape of pollutants unless the discharge, dispersal, seepage, migration, release or escape is itself caused by a Peril Insured Against named under Coverage C.

Subrogation would be a big issue, I would think.

I have my HAZEWOPER 40, OSHA 10 and BP Mod 3 just in case.