Oil Delivered into Basement

October 16, 2017

An oil company delivered oil to the wrong address and filled the basement with oil causing damage. Is the sudden & accidental escape of fuel into the basement of a DP3 policy covered?

Policy has Lead Abatement Provision NY DC0721303 03 12

North Carolina Subscriber

 

First, the oil company should be held responsible for the loss since it was due to their error.

 

The ISO DP 00 03 excludes discharge, dispersal, seepage, migration, release or escape of pollutants unless caused by a coverage C peril. A pollutant is a solid, liquid, gaseous or thermal irritant or contaminant, including acids, alkalis, chemicals and waste. Oil is indeed a pollutant, and the discharge of oil by an oil company at the wrong home is not a coverage C peril. There is no coverage for this loss.

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