Underwriting Manual: Environmental Laws


Underwriting Manual Subtopic
5.08.1

In General

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Environmental law has developed from the common-law doctrine of nuisance. In modern times, it is based on the principle of reserving and protecting the human environment in an undamaged and healthy condition and in creating an enjoyable and harmonious relationship between man and the environment.

To avoid or prevent the destruction and degradation of the natural environment, several measures have been adopted by the federal government, congress, state legislatures, and municipalities.

This environmental protection effort was initiated by Congress in l969 with the enactment of the National Environmental Policy Act (NEPA) and has continued with the passage of laws and regulations dealing with wetlands, flood plain zoning, coastal zones, pollution (air, water, and noise), and hazardous or radio-active waste.


Underwriting Manual Subtopic
5.08.2

Federal Statutes Regarding Environmental Laws

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The following is a list of statutes enacted by the federal government applying exclusively to environment protection. These federal statutes contain provisions creating liens on real property for the purpose of reimbursing the government for the costs it may incur in the cleanup of pollution or other related expenses.

This list does not include statutes which may contain environmental provisions as a part of regulations not focused solely on the environment:

  • Comprehensive Environmental Response, Compensation and Liability Act of 1980, 42 U.S.C. section 9601 et seq. (known as CERCLA or Superfund);

  • Superfund Amendments and Reauthorization Act of 1986. Pub. L. No. 99-499, 100 Stat. 1613 (Known as SARA);

  • Clean Air Act, 42 U.S.C. section 7401 et seq.;

  • Clean Water Act, 33 U.S.C. section 1251 et seq.;

  • Resource Conservation and Recovery Act, 42 U.S.C. section 6901 et seq. (known as RCRA);

  • The Refuse Act, 33 U.S.C. section 407 et seq.;

  • Toxic Substances Control Act, 15 U.S.C. section 2601 et seq. (known as TSCA); and,

  • The Safe Drinking Water Act, 42 U.S.C. section 300f et seq. (known as SDWA).

Underwriting Manual Subtopic
Underwriting Manual Subtopic
5.08.4

Environmental Concerns When Issuing ALTA Policies

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In order to issue ALTA policies (which provide some coverage regarding recorded environmental protection liens) without attaching the 8.1 endorsement you are not required to check the federal district court clerk's office for environmental liens provided that you check your local records. No additional generic exception to liens filed in the federal district court clerk's office is necessary. Please call our underwriting personnel if you are aware that the land is or was hazardous waste or superfund site. However, our policies and othe forms do not insure against environmental violations.


Underwriting Manual Subtopic
5.08.5

Requests For Insurance Regarding Compliance With Environmental Laws And Regulations

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Our policies do not insure compliance with environmental laws and regulations Any request for insurance regarding compliance with federal, state, or local environmental regulations must be denied.