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Financial Responsibility for Liability Coverage

Financial Responsibility for Liability Coverage. Owners and operators of hazardous waste management facilities must demonstrate third-party pollution legal liability coverage. The financial mechanisms that may be used are specified in R299.9710. The wording for the financial mechanisms is specified by the MMD:

If insurance is used to demonstrate third-party pollution legal liability coverage, then the policy must be amended by an endorsement on a form specified by the MMD. Separate endorsements are required for sudden and accidental occurrences and non-sudden accidental occurrences, and special versions of the endorsements are available for policies that have been pre-accepted by the MMD. (Pre-acceptance involves the review of the policy form and all endorsements used for Michigan risks.) In addition, the owner or operator must sign a waiver of the right to immediate cancellation of the policy. The endorsements and waiver form are listed below.

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