When divesting potentially contaminated property, environmental insurance can help.
As companies continue to assess divestments of owned properties, more sophistication is needed in dealing with the increasing number and magnitude of the environmental uncertainties associated with larger and more complex transactions. The potential liabilities associated with these transactions can correspondingly increase in both volatility and severity, with buyers and sellers exposed to these risks from a multitude of standpoints. In every transaction there will be some level of known and unknown environmental liability. To address these concerns, there are insurance products offered by many insurers that can be very efficient in providing solutions to mitigate or transfer environmental risks, assisting the transaction by closing the gap between the perceived risks of both the buyer and seller. In addition, financiers of these transactions often impose their own risk management requirements, and commonly require environmental insurance as a component of the strategy.
This paper can help you evaluate the use of environmental insurance during the course of a potential sale of an owned asset. There are a number of considerations to be made when making this assessment and one of those is most notably the amount of information available regarding the environmental conditions of the target site. This paper will help to guide you through the various options of environmental risk management tools, including the availability of insurance, based on the varying levels of information that is available regarding the site. There is a method to follow in any evaluation and this paper will outline that process.
Click here to read more.
To discuss your specific needs, please contact Greory Schilz, Executive Vice President on 415-819-6585.