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Home > Newsletters > Underground Storage Tanks

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The Authority is a monthly newsletter that provides information of interest to members, including legal updates, risk management matters, upcoming educational events, and happenings at the California JPIA.

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Issue 129 – November 2022

COVERAGE MATTERS

Underground Storage Tanks

By Insurance Programs Manager Jim Thyden

The Authority and its broker partner, Alliant Insurance Services, provide members with a cost-effective way of covering the California financial assurance requirements on Underground Storage Tanks (USTs). This coverage dovetails with the master pollution program and is specifically designed to meet the state’s requirements.

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As background, the state requires each entity with USTs to have a dedicated $1 million limit of insurance or to provide the state with a $1 million financial guarantee to cover a contamination incident, should one occur. Members must provide an underground storage tank application to Alliant to renew coverage. The insurance carrier would then review the application to evaluate if the specifics of the UST would qualify for the program. The insurance carrier would determine pricing and coverage terms if the UST qualifies.

Each participating member has a dedicated $1 million limit. Deductibles range from $25,000 to $500,000, depending on the age and specifics of the UST. For more coverage information, see the pollution program detail on our website.

If you have questions regarding underground storage tanks coverage, contact Christopher Gray at Alliant or the Authority’s Insurance Programs Manager, Jim Thyden.

 

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