N.J. Admin. Code § 7:14B-13.8 - Financial responsibility assurance

(a) As a condition of certification or renewal of certification, a business firm engaged in providing underground storage tank services shall maintain evidence of financial responsibility assurance pursuant to this section, for the mitigation or remediation of a hazardous substance discharge resulting from the performance of such services. Financial responsibility assurance in the amount and form required in this section shall be maintained for the term of the certification of the business firm.

(b) A business firm shall provide written notification to the Department 120 days prior to any cancellation or change in status of a mechanism used to provide financial responsibility assurance at the address at 7:14B-2.2(b).

(c) Financial responsibility assurance may be demonstrated through one or more of the following mechanisms:

1. Liability insurance as follows:

i. Liability insurance may be in the form of a separate insurance policy, or an endorsement to an existing policy which covers the remediation of a discharge resulting from the performance of those services which the insured is certified to perform under this subchapter;

ii. The policy shall provide limits of liability for at least $ 250,000 per occurrence and at least $ 250,000 annual aggregate;

iii. The insurer is responsible for the payment of all monies to the limit of the policy, including any deductible applicable to the policy, to the provider of remediation with a right to reimbursement by the insured for any such payment made by the insurer; and

iv. Each insurance policy shall be issued by an insurer that, at a minimum, is licensed to transact the business of insurance or eligible to provide insurance as an excess or surplus lines insurer in New Jersey; or

2. A surety bond, letter of credit, self-insurance or other security posted with the Department in the amount of no less than $ 250,000, provided that prior approval for the use of the surety bond, letter of credit, self-insurance or other security posted with the Department is received in writing from the Department.

(d) A business firm engaged in providing underground storage tank services shall maintain for the duration of the term of certification, and for six years following the expiration of the certification, records demonstrating the business firm's compliance with the financial responsibility assurance requirement at (a) above. The business firm shall make the records available to the Department on request.

Notes

N.J. Admin. Code § 7:14B-13.8

Amended by 50 N.J.R. 409(a), effective 1/16/2018