Chemical and Pharmaceutical
In the chemical and pharmaceutical industries the risk is described before anyone fills in a questionnaire: the safety data sheet, the classification of each substance and the site's permit are the file the underwriter reads. We know how rigorously they read it, what separates the property damage policy from environmental liability and where gradual pollution begins, and we build with you a programme that distinguishes, as your plant does, the process from its surroundings.
The covers that support a company in this sector
Each one is designed based on the company's real exposure. None are contracted the same in two companies in the same sector.
Lo que nos preguntan en chemical and pharmaceutical
Does the liability policy cover environmental damage?
It covers accidental pollution, which arises from a sudden and identifiable event, and responds to the affected third party. The remediation of the natural resource imposed by Law 26/2007 is of a different nature: it is an obligation to restore the damaged resource, enforceable by the Administration, and to address it, a specific environmental liability policy is required.
What changes in the insurance when we expand the chemical product warehouse?
The declared risk changes. A new capacity, a substance of different classification, or a modification of the installation are considered an aggravation of risk for the purposes of Articles 11 to 13 of the Insurance Contract Law, and must be communicated as soon as possible. If communicated in time, the aggravation is resolved with a premium supplement that keeps the indemnity intact; if communicated after the claim, the insurer reduces it in proportion to the premium paid and what would have been due.
Is the environmental liability policy sufficient to prove the financial guarantee required by the regulation?
Law 26/2007 allows several ways to establish it, and in mandatory activities, its amount is determined based on the environmental risk analysis of the installation. This analysis is done before the policy and determines its amount, so commissioning it in advance is what allows negotiating the cover instead of accepting it.
Our publications related to the Chemical and Pharmaceutical sector
Loss of profits: the indemnity period that almost no one calculates correctly
Twelve months is the market standard and a decision that is rarely reviewed. In many industries, it is not even enough to replace the critical machine.
7 min readAnalysis
Underinsurance: why many warehouses would receive half of what their owner believes
The proportional rule is the clause that costs the most money in Spain and is almost never discovered until the day of the claim. How to detect it beforehand.
7 min readTechnical note
Product liability and recall expenses: two covers that are confused daily
One covers the damage caused by the product. The other pays for the operation of removing it from the market before it causes damage. They are not the same guarantee.
6 min read