Hurricane Ida caused a tremendous amount of damage. One coverage issue concerns asbestos in older buildings and whether removal is paid for under a property insurance policy that may also contain pollution exclusions.

A FC&S discussion posed the issue as follows:

Insured sustained damage in Hurricane Ida. During the mitigation efforts, they discovered asbestos underneath the flooring. Wouldn’t’ this be considered a pollutant under the policy and coverage afforded based on policy wording under the commercial policy?

While I am omitting the discussion to tease readers of this blog to subscribe to the FC&S, the conclusion was positive:

You are correct that the testing and abatement of the asbestos would be covered at the limited amount provided under this provision. The original cause of loss is the hurricane damage, and the asbestos is part of that loss, yet subject to the pollutant limitation.

I recently referenced the FC&S Questions and Answers as part of my coverage analysis. To subscribe to the FC&S, please follow this link.

Thought For The Day

The strongest governments on earth cannot clean up pollution by themselves. They must rely on each ordinary person, like you and me, on our choices, and on our will.
—Chai Jing