Every occupation has unique risks and liabilities, and ship repair is no exception. One of these risks is pollution. If you repair marine vessels, you must take precautions to avoid polluting waterways with toxic substances and be prepared to act if an incident occurs.
Ship Repairers Environmental Liability
Contaminated water can have devastating effects on plants, animals and humans. Your business may be subject to legal action if the pollution makes people sick or causes property damage. To protect your assets in the event of a chemical spill, you must have ship repairers environmental liability coverage.
What Is Covered
This insurance covers costs associated with pollution, which may include:
- Cleanup costs
- Personal injury
- Property damage
- Legal fees
Pollution incidents can be catastrophic or non-catastrophic. A catastrophic event is an accident, such as an explosion, that results in pollution. Non-catastrophic pollution occurs over time, causing gradual damage. Most, but not all, environmental liability policies cover both catastrophic and non-catastrophic pollution.
What Isn’t Covered
Ship repairers environmental liability insurance typically excludes intentional acts, such as terrorism or vandalism. It also won’t cover damages if you have violated environmental laws.
As a ship repairer, your business serves an essential purpose. You must take care to protect your business and the environment you work in. Environmental liability insurance is an important part of your risk management strategy.