By Bob Katzen
The Senate approved and sent to the House a bill that would mandate that insurance companies in the Bay State provide residential owners with insurance for damage to home and property caused by a leak in a residential liquid fuel tank or home fuel supply lines.
Current law requires that companies make coverage available for owners but supporters say that while coverage is available, there are many documented cases of companies not making owners aware that the coverage is available. They said this often results in homeowners being unaware they do not have insurance coverage until after they experience a liquid fuel tank leak.
Supporters said that some 100 homeowners experience an oil leak in Massachusetts every year. They noted that leaks can incur costly damage to the residence itself, but under Massachusetts law owners are responsible for environmental cleanup, which can rise to $100,000 or more, to dispose of contaminated soil and mitigate the spread in surrounding areas.
“I am … grateful that the Senate has passed a much needed consumer protection measure to protect homeowners in the event of an accidental home heating oil release so that homeowners aren’t saddled with exorbitantly high clean-up costs through no fault of their own,” said Sen. Paul Feeney (D-Foxborough), chair of the Financial Service Committee.