Insurance Recovery for Environmental Costs in the
United Kingdom
Laurence J. EisensteinJohn L. Malanchuk PhD
Presented at:
Contaminated LandAchievements and Aspirations12-15 September 2004Loughborough University, UK
The Concept
Contaminated Land
Historical Insurance
Uncontaminated Land
The Suggestion
Insurers of the site during and after the period when contamination occurred are significant stakeholders in the site clean up
Failure to evaluate the possibility of insurance recovery ignores a major funding source
The Process
Corporate History
Insurance Information
Liabilities
Corporate History
Insurance Information: The Asset is Diminishing
Insurance Information: The Asset is Diminishing
Liabilities
Liabilities
The Details
Past CostsFuture Costs– Site characterization– Remediation quantities and remedy– Ground water– Other offsite natural resources damage– 3rd party property value diminution
Negotiate a settlement with the insurer as a business transaction
Why the Process Works
Litigation is avoidedTransaction costs are minimizedInsurers avoid future exposureInsurers have reserves for future claimsInsurers also have reinsuranceFunds are made available to the policyholder for needed remediationIt costs nothing to evaluate your claim
Eisenstein Malanchuk LLP1048 Potomac Street, N.W.Washington, D.C. 20007
(202) 965-4700www.em-law.com