A Volatile Climate

Although the shallow aquifer was not considered a source of drinking water, it was used extensively for irrigation purposes. Furthermore, the property owner soon noticed petroleum-like odors inside the home and office, necessitating relocation for a couple of days. A few weeks after the repair of the leak, the situation was completely resolved with the excavation and removal of impacted soil from beneath a patio and a portion of the building adjoining the point of release. Fortunately, specialists were able to not only discover but also remedy the release quickly. Moreover, the volume of the spill was not sufficient to impact groundwater, which could have easily transported contaminants and associated vapors well beyond the boundaries of the insured’s property.

This type of loss is a fairly typical example of a residential environmental claim. Years ago, this claim may have been settled simply as a mechanical issue, with much less focus on the longer-term environmental considerations, regulatory impact, and vapor intrusion into the home. Recently, the complicating factors to these claims have been growing. Therefore, the methods employed to handle environmental cases continue to progress. By the nature of this type of work, environmental issues frequently evolve because of the regulatory climate, technological advances, litigation, and cost considerations.