Certificates of Insurance

Are you covered?

When you run a site with underground or aboveground fuel tanks, you already juggle a lot: compliance, safety, and the ever-present risk of environmental claims. But here’s a question that can make or break your financial protection: Should tank owners request certificates of Insurance (COI) from contractors working on their tank sites?

The answer is a resounding yes—and here’s why.

Real-Life Consequences: When Things Go Wrong

For example, (Horrible Tragedy in Palm Beach County In 2025), a worker died after suffering a medical emergency while inside an underground gasoline storage tank in Palm Beach County, Florida (WPTV reported). Tragic events like this raise tough questions:

• What if the contractor did not carry workers’ compensation insurance?

• Could the tank owner be pulled into a wrongful death lawsuit?

• Could the owner be accused of failing to verify the contractor’s insurance and safety practices?

The answer is often yes—owners can face legal exposure when contractors are uninsured or underinsured.

Everyday (But Costly) Contractor Mistakes

It doesn’t take a tragedy to create financial headaches. Here are real scenarios that occurred at tank sites:

• A drill rig operator drills straight through a product line, releasing fuel.

• A tall drill rig clips and destroys a canopy over dispenser islands.

• A contractor’s pickup truck backs into a customer’s car.

• An environmental crew chews up the landscaping and grassy areas.

• A careless move damages a dispenser island, shutting down fuel sales.

• During a tank removal near a building, the foundation caves in.

These aren’t “what ifs”—they happen in the real world. Without proper contractor insurance, the tank owner risks footing the bill.

Why COIs Are Essential

Requesting a Certificate of Insurance isn’t just paperwork. It’s your proof that a contractor has coverage in place for:

• General Liability – to cover property damage and bodily injury.

• Pollution Liability – crucial at tank sites, since standard liability policies often exclude pollution.

• Workers’ Compensation – to cover injuries or death of contractor employees.

• Automobile Liability – for all those trucks, rigs, and trailers on-site.

What Tank Owners Should Do

1. Always require a COI before any contractor sets foot on your site.

2. Check coverage limits ($1–2 million minimum per occurrence is common).

3. Look for pollution liability—don’t assume it’s included.

4. Insist on being listed as an additional insured.

5. Don’t just file it away—review expiration dates and request updates annually.

6. For big or risky jobs, request copies of the actual endorsements—not just the COI summary.

The Bottom Line

If a contractor has an accident—and they will, sooner or later—you don’t want to be left holding the bag. From tragic accidents like the Palm Beach County fatality to everyday mistakes like crushed canopies, broken windows, or lost revenue, the risks are real and costly.

Requiring a Certificate of Insurance is one of the simplest, cheapest, and most effective ways a tank owner can protect themselves. Think of it as a seatbelt for your business. You may never need it, but when you do, it can save you from catastrophic losses.