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Environmental Insurance for Electric Vehicle Charging Stations

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The demand for electric vehicles (EVs) has significantly increased over the last few years, with over 10 million electric cars sold worldwide last year. As vehicle manufacturers stay busy, the need for electric charging stations is also growing. The site procurement, construction, and maintenance for these stations have created an entirely new segment of the renewable energy industry. Insurance agents all over the U.S. are writing this business and working to address coverage needs with these clients. So, what are the environmental concerns for EV stations? Exposures can vary whether the insured is the owner of the site or the contractor hired to build and/or maintain it.

For the landowner or location operator, exposures may include:

  • When purchasing a site for an EV charging stations, the owner should be sure to conduct adequate due diligence of the property prior to the acquisition to address any historic/legacy issues found in the soil and groundwater.
  • Fixed site exposures including spills or leaks, traffic on the site, vandalism, etc.
  • There is a potential risk with the EV batteries on the site; damage or explosion, while rare, can occur.

Coverages for the owner or operator of EV charging stations:

GL/Site Pollution combo form for the development stages and post development. Transportation Pollution Liability should also be considered for vehicles on the site.

For a contractor hired to build an EV station, exposures may include:

  • Construction activities performed by the contractor, including but not limited to runoff, dust, etc. Excavation activities in particular can be a concern if contractors accidentally cut utility lines underground or cause other inadvertent damage.
  • Typically EV charging stations are installed in locations that have gas stations already present, so there is the potential for a UST/AST release at the location.

Coverages for contractors working with EV charging stations:

GL and Contractors Pollution Liability related coverages for contracting risks, including Transportation Pollution Liability. If the insureds is designing the EV charging stations as well, then Professional Liability should be purchased.

For more information about coverage for EV stations, or to discuss renewable energy risks, please contact us.