What type of insurance is legally required for properties with underground storage tanks holding fuel oil?

Pollution Liability Insurance is specifically designed to cover risks associated with contamination and environmental damage arising from the handling of hazardous substances, such as the fuel oil stored in underground storage tanks. In states like Nevada, regulations often mandate this type of insurance for properties that maintain underground storage tanks to ensure that any potential environmental liabilities, such as leaks or spills, are adequately managed. This insurance provides financial protection against claims resulting from pollutants that may escape the tanks and adversely affect the environment or public health.

In contrast, General Liability Insurance typically covers bodily injury and property damage claims, but it does not sufficiently address the specialized risks linked to pollution. Worker's Compensation Insurance is intended to protect employees from job-related injuries, not environmental hazards associated with stored materials. Property Insurance primarily covers damage to the physical structure or the contents of the property but does not encompass liabilities arising from pollution incidents. Therefore, for properties with underground storage tanks holding fuel oil, Pollution Liability Insurance is the necessary coverage to comply with legal requirements and safeguard against environmental risks.