As mentioned above, uncertainty over cleanup costs
and liability concerns constrain investment or redevelopment
of contaminated properties. Over 95% of all cleanups
can be completed for less than $1 million. Nevertheless,
secured creditors, prospective purchasers, and property
owners seek protection for costs far exceeding REMEDIATION cost estimates.
Multi-year protections against government reopener of a completed
project are also desired.
Lomax seeks to guarantee cleanup cost estimates
for REMEDIATION projects ranging from $50,000 to $10 million. Cleanup projects
may range from petroleum hydrocarbons or other organic compounds to the REMEDIATION
or destruction of soils contaminated by heavy metals. In many instances, ECI
is written with SLEEP coverage, contractors’ professional liability or
site specific pollution liability. Voluntary cleanups and "Brownfield’s" are
the primary targets for this program. |