Key Contacts
Availability of Insurance to Manage PFAS Liability Risks
Companies should investigate policy archives and work with specialized counsel to maximize insurance recovery opportunities for emerging PFAS liabilities.
The acronym PFAS has now joined mainstream parlance. Short for per- and polyfluoroalkyl substances, the term refers to a category of nearly 15,000 manufactured chemicals that have been used since the 1940s for a myriad of purposes ranging from non-stick cookware, cosmetics, and waterproof clothing to fire-fighting foam. PFAS are commonly dubbed “forever chemicals” because of their persistence in the environment. PFAS have become headline news due to their widespread presence in the environment and a growing body of scientific evidence linking PFAS exposure to a variety of human health risks, including an increased risk of certain cancers.
Over the past decade, there has been a proliferation of state and federal regulations relating to PFAS. In addition, numerous states and EPA have utilized existing and new regulatory authority to require current and former owners and operators to investigate for the presence of PFAS in the environment, and to remediate PFAS contamination associated with current or former operations.
A number of states have also pursued natural resource damage (NRD) claims against parties responsible for PFAS contamination. For example, New Jersey has reached multimillion dollar settlements with former industrial users or producers of PFAS. A number of private lawsuits have also been filed, seeking to impose responsibility for PFAS contamination and exposure.
Historical commercial general liability (CGL) policies and new pollution legal liability (PLL) insurance policies are potentially meaningful tools that may be available to businesses to manage PFAS liability risks.
