We disagree.  We see nothing in the form to indicate that it would not apply to a loss adjacent to the dwelling (which is on the insured premises).  The coverage specifies that it covers pollutant clean up at the insured premises, caused by an insured peril and reported within 180 days. 

Who is correct?   

Colorado Subscriber

Pollution cleanup is generally a third party coverage where an offender is being called on to cleanup a mess it made. This case is a little different in that there is a first party claim for coverage.

The FO-3 policy specifically excludes cleanup of pollutants so there is no coverage there.

The FO-6 does not cover property covered under Coverages A, B, or C, or the incidental Property Coverages pertaining to those coverages if provided by the policy (FO-3).

However, the FO-6 does provide incidental coverage for pollutant cleanup and removal, subject to the terms of coverages E (Barns, Buildings and Structures), F (Scheduled Farm Personal Property) and G Unscheduled Farm Personal Property). However, if coverage is to apply under coverage G, the structure must be located on the insured premises and a limit is shown:

In the declarations (Coverage E); or

For the class of property on the declarations (Coverage F); or

On the declarations under Coverage G., the last case, the company will cover farm personal property usual and incidental to the operation of the farm.

Since the heating oil tank is actually on the premises insured by the FO-3, not supplying oil to a barn, building or structure insured under the FO-6, or listed on the declarations, a majority of the editors agree with the company decision to deny coverage.