Geosyntec was retained as part of a multi-disciplinary team by an international automobile parts manufacturer to pursue settlement on environmental claims associated with a portfolio of historic comprehensive general liability (CGL) insurance policies. Working with a team of insurance and legal specialists, Geosyntec reviewed existing site conditions and developed site-specific environmental cost estimates for regulatory closure prior to negotiation of site costs with remedial insurers. The project has involved more than 20 international and domestic insurance carriers.
Geosyntec's Scope of Services
Geosyntec led the technical evaluation of more than 200 currently and formerly owned/operated automobile equipment manufacturing facilities and off-site disposal sites in U.S. and international locations. Our scope included analysis and quantification of past and potential future environmental cost liabilities, including an analysis of potential private party environmental (property value diminution/bodily injury) claim and natural resource damage claim liabilities. The environmental liabilities evaluated were highly varied and included sites engaged in federally and state-led cleanups to address impacts to on-site and off-site soil, groundwater, surface water, and sediment. Current regulatory progress at these sites ranged from sites where no environmental regulator has yet been engaged to sites where full Superfund remedies were already underway.
For each site, we conducted an analysis of available site technical data and applied site-specific information to a systematic costing approach developed to assure consistent and appropriate costing across each of the sites that were evaluated. Geosyntec and our project team used the results of these analyses to develop estimates of the value of the cost risk associated with the available insurance coverage. We then assisted the insurance and legal specialists in their negotiations with insurance carriers by providing updated documentation and site-specific information during settlement meetings.
Over the course of approximately 24 months, Geosyntec developed a technical basis for, and supported negotiated settlements with, multiple insurance carriers amounting to significant insurance recoveries. The analysis provided by Geosyntec and the amount recovered by the team afforded the client greater financial flexibility and growth opportunities despite challenging economic conditions.
- Location: US and International Locations
- Client: Insurance Dispute Solutions
- Project Practice Areas: Environmental Management
- Type of Facility: Automobile Parts Manufacturer Sites
- Services Provided: Environmental Liability Valuation; Insurance Negotiation Support
- Type of Work: Insurance Cost Recovery
- Governing Regulation: Private