- Aug. 31, 2018
-- There are a number of variables to consider with regard to Homeowners coverage of Leaking Oil tanks. First is it a old policy that has been in effect over 20 years or is it a newer policy. The trigger for coverage of homeowners insurance policy is the loss a Third Party Claim. A third party claim constitutes damages to a neighbors property or to ground water under your property. The ground water under your property is owned by the State of New Jersey a third party. If the leaking oil tank contamination contaminates your neighbors property or the ground water under your home , then their should be coverage for remediation costs under your homeowners policy even if it is newer policy. However, Environmental Systems recommends that homeowners with a leaking oil tank consult with their attorney. The procedure for filling a successfully insurance claim is to either complete the clean-up yourself as to know the exact cost of final remediation. Another alternative is to obtain your own soil and ground water samples to verify the existence of ground water contamination. In some cases it is not unusual to see a insurance carrier's consultant obtain soil and ground water samples from areas that were not impacted by the spill. Then the insurance carrier says there is no coverage. That's why consulting with attorney is a good idea. If you receive a denial letter from your insurance carrier there could be eligibility under the NJDEP's Homeowner Grant Program.
The only downside is that you must complete the remediation and wait 3-4 years to get paid. Environmental Systems is a full service Environmental, Remediation and Tank removal company with over 20 years experience remediating leaking oil tanks. To find out additional information contact Environmental Systems at 732-892-8707 or visit our website at www.allenvirosystem.com