State-Subsidized Environmental Insurance
To promote the cleanup and redevelopment of Brownfields sites in Massachusetts, BDC Capital has joined the Commonwealth of Massachusetts to make state-subsidized environmental insurance available to parties who purchase, cleanup and/or redevelop Brownfields, anywhere in the state. Subsidies, which defray the cost of this insurance for Brownfields sites, are significant and can make a project more economically viable.
Since 1999, more than 350 former Brownfields sites across Massachusetts have been cleaned-up and redeveloped with the support of the state-subsidized environmental insurance available through the BRAC Program. Over $1.2 billion in insurance provided under the Program has supported over $200 million in environmental cleanups and promoted more than $4.5 billion in privately funded development at these sites. In addition, more than 27,000 new jobs have been created at restored facilities located at former Brownfiields sites all across Massachusetts.
Coverage for Developers and Lenders
For developers, Pollution Liability and Cleanup Cost Cap policies insure against “Legacy Liabilities,” unexpected claims and extraordinary costs that may arise when cleaning up or developing a Brownfield site. These policies make it possible for developers to greatly limit their exposure to the types of extraordinary risks that are often associated with Brownfields projects.
Secured Lender policies available under the BRAC Program afford lenders to a Brownfields cleanup or redevelopment project with the protections they need to provide the financing required to move these projects forward.
The leading insurers in the industry have partnered with BDC Capital to make a broad array of comprehensive, state-of-the-art environmental insurance products available through the BRAC Program. In addition, BDC Capital has augmented these policies with a state-specific endorsement, which conforms to Massachusetts law and provides other common benefits to insured parties.