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Site-Specific Environmental Impairment Liability Policies The following questions are from CPCU 552 Chapter 9, Other Commercial Liability Insurance. It covers the various environmental liability risk exposures and the corresponding environmental insurance policies. Question: Resident B living near the site of tire factory A, recently discovered that their dog C died from poisoning. While proceeding with a lawsuit against tire factory A, B confirmed that toxic chemicals used in the manufacturing process of tire factory A, were leaked through a crack in the underground storage. The premises of tire factory A, and nearby areas have been contaminated with this chemical. Tire factory A, has Unendorsed Site-Specific Environmental Impairment Liability Policies (EIL). How will the insurance company of tire factory A, cover this? Answer: The EIL insurer covers property damage for the death of dog C and also covers cleanup costs for nearby property. However, unendorsed EIL does not cover cleanup
