Iowa Administrative Code › Agency 567 - Environmental Protection Commission › Title IX - Spills and Hazardous Conditions › Chapter 136 - Financial Responsibility for Underground Storage Tanks › Rule 567-136.8 - Insurance and Risk Retention Group Coverage

Current through Register Vol. 47, No. 3, July 24, 2024
(1) An owner or operator may satisfy the
				requirements of rule 567-136.4 (455B) by obtaining
				liability insurance that conforms to the requirements of this rule from a
				qualified insurer or risk retention group. Such insurance may be in the form of
				a separate insurance policy or an endorsement to an existing insurance
				policy.
(2) Each insurance policy
				must be amended by an endorsement worded as specified in
				136.8(2)
"a"
"ENDORSEMENT" or evidenced by a certificate of
				insurance worded as specified in 136.8(2)
"b"
"CERTIFICATE OF
				INSURANCE," except that instructions in brackets must be replaced with the
				relevant information and the brackets deleted:
a. ENDORSEMENT
Name:____________
Address: _________________[address of each covered
				  location]
____________________________________
____________________________________
Policy Number:_____
Period of Coverage: _________________[current policy
				  period]______
Name of [Insurer or Risk Retention Group]:
____________________________________
____________________________________
Address of [Insurer or Risk Retention Group]:
____________________________________
____________________________________
Name of Insured:_______________________
Address of Insured:_____________________
____________________________________
____________________________________
Endorsement:
(1)
				This endorsement certifies that the policy to which the endorsement is attached
				provides liability insurance covering the following underground storage tanks:
[List the number of tanks at each facility and the name(s)
				  and address(es) of the facility(ies) where the tanks are located. If more than
				  one instrument is used to assure different tanks at any one facility, for each
				  tank covered by this instrument, list the tank identification number provided
				  in the notification submitted pursuant to 567-subrule 135.3(3) and the name and
				  address of the facility.]
for [insert: "taking corrective action" and/or "compensating
				  third parties for bodily injury and property damage caused by" either "sudden
				  accidental releases" or "nonsudden accidental releases" or "accidental release;
				  in accordance with and subject to the limits of liability, exclusions,
				  conditions, and other terms of the policy"; if coverage is different for
				  different tanks or locations, indicate the type of coverage applicable to each
				  tank or location] arising from operating the underground storage tank(s)
				  identified above.
The limits of liability are [insert the dollar amount of the
				  "each occurrence" and "annual aggregate" limits of the Insurer's or Group's
				  liability; if the amount of coverage is different for different types of
				  coverage or for different underground storage tanks or locations, indicate the
				  amount of coverage for each type of coverage and/or for each underground
				  storage tank or location], exclusive of legal defense costs, which are subject
				  to a separate limit under the policy. This coverage is provided under [policy
				  number]. The effective date of said policy is [date].
(2) The insurance afforded with respect to
				such occurrences is subject to all of the terms and conditions of the policy;
				provided, however, that any provisions inconsistent with numbered paragraphs
				"1" to "7" of this subparagraph are hereby amended to conform with numbered
				paragraphs "1" to "7":
1. Bankruptcy or
				insolvency of the insured shall not relieve the ["Insurer" or "Group"] of its
				obligation under the policy to which this endorsement is attached.
2. The ["Insurer" or "Group"] is liable for
				the payment of amounts within any deductible applicable to the policy to the
				provider of corrective action or a damaged third party, with a right of
				reimbursement by the insured for any such payment made by the ["Insurer" or
				"Group"]. This provision does not apply with respect to that amount of any
				deductible for which coverage is demonstrated under another mechanism or
				combination of mechanisms as specified in rules
				567-136.6 (455B) to
				567-136.17(455B).
3. Whenever
				requested by the Director of the Iowa Department of Natural Resources, the
				["Insurer" or "Group"] agrees to furnish to the director a signed duplicate
				original of the policy and all endorsements.
4. Cancellation or any other termination of
				the insurance by the ["Insurer" or "Group"] except for nonpayment of premium or
				misrepresentation by the insured will be effective only upon written notice and
				only after the expiration of 60 days after a copy of such written notice is
				received by the insured. Cancellation for nonpayment of premium or
				misrepresentation by the insured will be effective only upon written notice and
				only after expiration of a minimum of ten days after a copy of such written
				notice is received by the insured.
Insert for claims-made policies:
5. The insurance covers claims otherwise
				covered by the policy that are reported to the ["Insurer" or "Group"] within
				six months of the effective date of cancellation or nonrenewal of the policy
				except where the new or renewed policy has the same retroactive date or a
				retroactive date earlier than that of the previous policy, and which arise out
				of any covered occurrence that commenced after the policy retroactive date, if
				applicable, and prior to such policy renewal or termination date. Claims
				reported during such extended reporting period are subject to the terms,
				conditions, limits, including limits of liability, and exclusions of the
				policy
6. The ["Insurer" "Group"]
				will notify the insured and any additional named insureds of the six-month
				extended reporting expiration date as provided in paragraph
				136.8(2)
"a"
(2)"5" in any written final cancellation or
				nonrenewal notice in accordance with rule
				567-136.18 (455B).
7. Timely notice of a release and claim for
				coverage to the insurer by the Iowa Department of Natural Resources shall be
				deemed sufficient notice on behalf of the insured under the terms, conditions,
				and exclusions of this policy. Notice by the department does not modify or
				enlarge the terms, conditions and exclusions of coverage but is only intended
				to preserve coverage to which the insured may otherwise be entitled under the
				policy.
I hereby certify that the wording of this instrument is
				  identical to the wording in 567-subrule 136.8(2) "ENDORSEMENT" and that the
				  ["Insurer" or "Group"] is [licensed to transact the business of insurance or
				  eligible to provide insurance as an excess or surplus lines insurer in one or
				  more states].
[Signature of authorized representative of Insurer or Risk
				  Retention Group]
[Name of person signing]
[Title of person signing], Authorized Representative of [name
				  of Insurer or Risk Retention Group]
[Address of Representative]