Pennsylvania Code › Title 25 - ENVIRONMENTAL PROTECTION › Part I - Department of Environmental Protection › Subpart C - Protection of Natural Resources › Article I - Land Resources › Chapter 77 - NONCOAL MINING › Subchapter D - BONDING AND INSURANCE REQUIREMENTS › FORMS, TERMS AND CONDITIONS OF BONDS AND INSURANCE › Section 77.231 - Terms and conditions for liability insurance

Current through Register Vol. 54, No. 28, July 13, 2024
(a) A license applicant or licensee, when
						  required by section 5(e) of the act (52 P. S. §
														3305(e)), shall submit proof
						  of liability insurance before a license is issued or renewed and before a
						  permit is issued. The proof shall consist of a certificate issued by an
						  insurance company authorized to do business in this Commonwealth, and the
						  certificate may be filed at the time of license application and renewal
						  thereof; or, otherwise annually filed with the Department certifying that the
						  permittee has a public liability insurance policy in force covering the
						  licensee's mining and reclamation operations in this Commonwealth.
(b) The insurance shall be written on an
						  occurrence basis and provide for personal injury and property damage protection
						  in a total amount determined by the Department on a case by case basis, and
						  adequate to compensate persons injured or property damaged as a result of the
						  permittee-s mining and reclamation operations and entitled to compensation
						  under Pennsylvania law.
(c) If
						  explosives are to be used by the permittee and loss, diminution in quantity or
						  quality, contamination or interruption of public or private sources of water is
						  possible as determined by the Department, the liability insurance shall include
						  and the certificate shall provide a rider covering personal injury and property
						  damage from these occurrences. The applicant may provide bond under subsection
						  (i) in lieu of insurance to cover water supply loss, diminution, contamination
						  or interruption.
(d) The insurance
						  shall include a rider requiring that the insurer notify the Department whenever
						  substantive changes are made affecting the adequacy of the policy, including
						  cancellation or failure to renew.
(e) Minimum insurance coverage for bodily
						  injury shall be $500,000 per person and $1 million aggregate. Minimum insurance
						  coverage for property damage shall be $500,000 for each occurrence and $1
						  million aggregate.
(f) The
						  insurance coverage shall be maintained in full force for the duration of the
						  permittee's mining and reclamation operation. The licensee shall submit
						  annually proof of coverage. If a licensee fails to maintain the insurance, the
						  Department will issue a notice of violation to the licensee requiring the
						  licensee to submit proof of insurance coverage.
(g) Separate certificates of insurance may be
						  submitted for general liability, blasting coverage and water loss coverage if
						  the licensee is shown as the insured and not listed separately on the
						  certificate as an additional insured.
(h) The certificate holder shall be the
						  Department.
(i) Bond may be provided
						  in lieu of liability insurance to cover replacements or restoration of water
						  supplies as required under
						  77.533 (relating to water rights
						  and replacement).
(1) If the Department
						  determines that the mining operation may affect a public or private water
						  supply, the Department may require bond or additional insurance sufficient to
						  replace the water supplies which could be affected as required under section
						  11(g) of the act (52 P. S. §
															3311(g)).
(2) The bond shall be submitted on a form
						  provided by the Department, and meet the requirements of this
						  chapter.