Most agents are aware of the pollution exposures for their contractor clients and many are becoming familiar with Premises Pollution policies for commercial and industrial facilities. However, Products
Pollution for manufacturing risks still appears to be a bit of a mystery. This coverage is often not discussed as extensively as other Pollution products, but it can be a crucial part of an insured’s insurance program.

Products Pollution coverage provides liability coverage for Bodily Injury and Property Damage to third parties arising out of a manufactured product. Pollutant Clean Up may be provided separately or included within the definition of Property Damage. Coverage can be provided by either a stand alone policy or by an endorsement to a CGL form and can be offered with either a Claims Made or Occurrence Trigger, depending upon the market and type of product being insured.

Who Should Buy Products Pollution Coverage?

Basically the market is divided into two camps, one termed “soft products” and the other termed “hard products.” Soft products would encompass blending and manufacturing for industries such as chemical, detergent, petroleum, and fertilizer. Hard products would include manufacturers of drums and barrels, tanks and vessels, pipe, pollution control, and filtration devices. In addition to manufacturers, importers and distributors of either hard or soft products should also consider purchasing this coverage.

Some Examples of Products Pollution Coverage Commonly Written: