Search
 

The Environmental Claims Picture

When it comes to environmental losses, one clear trend is we are seeing a lot more claims, says Chris Smy, a managing director and the global Environmental practice leader at Marsh. Historically, Environmental insurance is perceived to be a high-severity, low-frequency [risk]. But as the business has moved toward more...

By Dave Lenckus | Updated on February 04, 2013
When it comes to environmental losses, one clear trend is “we are seeing a lot more claims,” says Chris Smy, a managing director and the global Environmental practice leader at Marsh. “Historically, Environmental insurance is perceived to be a high-severity, low-frequency [risk]. But as the business has moved toward more insureds buying operational coverage, as opposed to insurance for long-term transactional deals, more risks have been realized. This might be in part because, with regulatory developments, there’s more enforcement focus—particularly in the U.S. 

“As a general observation,” Smy continues, “this product has been conceived and perceived as a third-party liability issue. What I’m hearing from the carriers is actually there’s a lot more first-party claims [from property owners] than they would have expected.”

Overall, brokers and officials at environmental-consulting and pollution-remediation firms say losses are pretty equally distributed among different types of Pollution coverage.

Want to continue reading?
Become a Free
PropertyCasualty360 Digital Reader.

INCLUDED IN A DIGITAL MEMBERSHIP:

  • All PropertyCasualty360.com news coverage, best practices, and in-depth analysis.
  • Educational webcasts, resources from industry leaders, and informative newsletters.
  • Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com.

Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Recommended Stories

PropertyCasualty360

Join PropertyCasualty360

Don’t miss crucial news and insights you need to make informed decisions for your P&C insurance business. Join PropertyCasualty360.com now!

  • Unlimited access to PropertyCasualty360.com - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including BenefitsPRO.com, ThinkAdvisor.com and Law.com
  • Exclusive discounts on PropertyCasualty360, National Underwriter, Claims and ALM events

Already have an account? Sign In Now
Join PropertyCasualty360

Copyright © 2024 ALM Global, LLC. All Rights Reserved.