Wordings Library
Market exclusions
Clause explained
Pollution Exclusions
Excludes or limits loss from pollutants, contamination, seepage, or environmental impairment.
Meaning
Excludes or limits loss from pollutants, contamination, seepage, or environmental impairment.
Why insurers use it
To separate gradual or systemic environmental exposure from accidental events the insurer agrees to cover.
Effect on coverage
Some wordings preserve sudden accidental pollution or clean-up following covered physical damage; others are broader.
Illustrative example
A tank rupture suddenly releases chemicals after insured impact damage.
Claim consequence
Coverage may split between damaged property, clean-up, third-party liability, fines, and gradual contamination.
What the insured should negotiate or check
Check pollutant definition, sudden/accidental exception, clean-up orders, gradual release, fines, defence costs, and environmental policy.