Quarry Faces Environmental Liability Query


A large quarry operation owned a dig site that had been filled with a profusion of waste material following a mineral extraction. The waste material used to fill the quarry was not screened properly, making it difficult to find and secure a coverage policy. The quarry also had plans to build an industrial building on the waste site, requiring historical waste disposal evaluation to measure associated risks. While the quarry’s management was not actively seeking a new broker or policy for its environmental liability insurance coverage, they were open to alternative policies and cost-saving solutions that Alera Group—whom they had worked closely with in the past—might be able provide.


Over a three-month period, Gene Nosovitch, Alera Group’s environmental liability expert, worked closely with the quarry’s management team to better understand its needs and the scope of its operation. Following the upfront period of research and information gathering, the underwriting team reviewed historical waste disposal at the site to evaluate the potential for future development (e.g. inspecting for any presence of methane gas) and explored a range of options to find the best quote to meet the quarry’s needs. After a complex underwriting process, the team was able to discover avenues for improved coverage and cost savings.


Gene and Alera Group helped the client receive improved overall coverage on a flexible two-year policy, saving over $50,000 on premium costs. The quarry was thrilled with the savings under their new policy and now trusts Alera Group for all of its insurance needs.


Just about all construction and commercial businesses have at least one environmental liability exposure. Pollution liability incidents may be infrequent, but when they do happen, they are often large and expensive. Environmental liability insurance can provide companies with much needed relief when such incidents occur.