Many manufacturing companies and businesses faced with growing environmental risks and liability concerns in New York are purchasing Brooklyn business insurance, in the form of pollution liability coverage, as an effective risk management tool to cover the gap left by the absolute pollution exclusion on standard commercial general liability policies.
Environmental risk and liability concerns are growing significantly due to recent high-profile disasters, mainly oils spills and other releases of hazardous waste destroying wetlands, damaging our oceans and wildlife, and potentially poisoning our drinking water, along with a slew of federal enforcement agency attorneys ready to prosecute damages to the fullest.
Addressing our concerns on a global level
Manufacturing companies and their use of chemicals and other toxins, create a growing concern. Today, we have a heightened awareness of the long-term environmental effects of our actions on the planet and there is an increased focus on such issues as global warming, sustainable agriculture, and green building, topics certainly worth discussing and resolving.
We, as a society, finally understand the impact this is having on human life and the environment, which is the initial step toward understanding what actions need to be taken. The second step is recognizing how to better manage this exposure, and pollution liability insurance coverage has become an effective, strategic way to accomplish this, creating a rapidly expanding marketplace for insurers of manufacturing companies.
Traditionally, manufacturing is about the production of a finished, marketable product from raw materials. Unfortunately, this process generates wastes, including off-specification raw material, excess, and materials used for maintaining production equipment. As you might expect, less than robust management of both on-site and off-site chemicals and waste materials has resulted in considerable environmental damage at an extraordinary cost. The bigger problem is that it usually only takes into account damages that are immediately apparent.
The fact is that many of these damages go unreported and aren’t currently under any type of regulatory oversight. In addition, there is the ever-present possibility of a catastrophic release from the pipeline transfer of product, or an accidental dispersion or explosion that results in both immediate and long-term damage. In most cases, lawsuits will prevail, reputations will be damaged, and there will be significant liabilities from legally defending the entities involved. Brooklyn business insurance is one way to aid companies when an accident or oversight occurs.