Insured has an all risk policy. He is claiming that after his wife completed chemotherapy, his septic system would no longer operate. He claims the chemicals expelled in the bodily fluids killed the bacteria in the system and requires the system be replaced. The adjuster believes the general exclusion "We do not pay for loss resulting directly or indirectly from: Chemical or Biological. Regardless of the amount of damage or loss, this exclusion applies to any losses that are carried out or caused by dispersal or application of pathogenic or poisonous biological or chemical materials," excludes coverage for the loss. He also believes the wear, tear deterioration exclusion also applies. What are your thoughts?   

Minnesota Subscriber

You have a unique question. After doing some research, chemo drugs expelled in bodily waste are a known issue that can negatively affect the functioning of septic tanks. While the urine/other waste are natural byproducts, the chemotherapy chemicals are not, and are considered toxic. Therefore, the residual chemo drugs that made it into the septic tank and killed the beneficial bacteria, causing the tank to quit working, would be excluded as a cause of loss under the pollution exclusion. I don't know that wear and tear would apply as well, it would depend on the condition of the tank itself. I'm including some articles regarding the topic that you may find interesting:

https://www.pumper.com/online_exclusives/2018/06/the-problem-with-medications-and-septic-systems

https://www.onsiteinstaller.com/online_exclusives/2019/01/septic-tanks-can-hold-dangerous-levels-of-chemo-drugs

https://voice.ons.org/news-and-views/do-cytotoxic-agents-impact-ground-soil-or-well-water