Source: http://insurancenewsnet.com, July 10, 2014
By: Sarah Desantis, The News-Item, Shamokin, PA
The Line Mountain Board of Directors decided Tuesday night to forgo purchasing an environmental liability policy that would have cost the district $7,324.86.
The policy through Admiral Insurance Company would have provided a $1,000,000 limit of insurance with a $10,000 per claim deductible for pollution coverage at the elementary and middle/high school locations, including the underground tank at Line Mountain Elementary.
When presented with the cost, Superintendent David M. Campbell said he felt the cost for the coverage was too high given the low risk posed by the few potential environmental leaks.
The board decided that the only risk remaining of an environmental leak is of the oil tank beneath the Line Mountain Elementary School building, which is used to heat water.
Nathan T. Troutman, insurance broker for Deibeler, Straub and Troutman, Inc., said he thought he should present information regarding environmental leak insurance in light of the fuel oil leak that occurred in February at the former Dalmatia Elementary School, but could not make a recommendation on purchasing.
Campbell said he’d prefer the district spend the money by removing the oil tank and replacing the water heaters with electric or another type of environmentally-friendly energy source.
After the discussion, directors agreed to remove the policy from the addendum.
Directors David Scott Bartholomew and Lawrence Neidig were absent from the meeting.