Finalizing the Sale – Pollution Issues in a Purchase & Sale Agreement
    01/28/2020

    In the last twelve months, we have seen an increase in the number of divestitures and acquisitions taking place in the oil patch. For many operators in the industry, the buying and selling of existing production and/or leases seems to be a revolving door. Unfortunately, many of these deals stall when it comes to negotiating the responsibility for unknown, pre-existing pollution conditions within the agreement. Most often, the seller does not want to retain any of the liability and the buyer certainly does not want to inherit any unknown pollution conditions that may have previously developed. Typically, this potential for liability leads to significant funds set aside in escrow to cover a potential event.

    To help expedite an amicable purchase and sale agreement and avoid setting aside a lump sum in escrow or personal guarantee, we often recommend our clients look to the insurance marketplace. Coverages you likely already have in place, such as General Liability, may include endorsements that would exclude any gradual pollution events. However, the gradual pollution marketplace is ever-changing, and there are now reputable carriers offering broad form gradual pollution coverage with no retroactive dates. These policies can also be transferable upon sale, allowing either the divesting or acquiring company to purchase the policy. 

    By obtaining such a policy, operators can assure buyers that any unknown pre-existing pollution conditions, no matter what date the event is traced back to, can be covered, easing concerns and eliminating the need to set aside additional funds. The AssuredPartners Energy team works in tandem with our clients to ensure a top-down risk management approach that suits each individual client’s needs. Contact our Energy team to learn more about the coverages we offer and how we can help you protect your operation.

    09/28/2020
    LAKE MARY, FL – September 21, 2020 – AssuredPartners Inc is pleased to announce the acquisition of Red Insure Limited and Everest Risk Management Limited. The transaction is subject to customary approval by the Financial Conduct Authority and the deal terms have not been disclosed. Co-founded by Neil...
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    09/23/2020
    LAKE MARY, FL – September 23, 2020 – AssuredPartners, Inc. of Lake Mary, FL is pleased to announce that it has entered into a definitive agreement with People’s United Bank, N.A, a subsidiary of People's United Financial, Inc. (NASDAQ: PBCT), to acquire People’s United Insurance...
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    09/09/2020
    LAKE MARY, FL – September 9, 2020 – AssuredPartners, Inc. today announced the settlement of two lawsuits currently pending in Delaware between one of its affiliates, AssuredPartners of Virginia, LLC, and two former employees, Patrick Sheehan and Mark Sheehan. All parties deny the allegations raised...
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    08/27/2020
    Allyson Olver accepts promotion to become Senior Vice President - National Personal Lines Practice Leader LAKE MARY, FL – August 27, 2020 – AssuredPartners, Inc. is proud to announce that Allyson Olver will assume the role of Senior Vice President and National Leader for Personal Lines Practice for...
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    08/24/2020
    Seattle based Lawyers Professional Liability Broker Joins National Team LAKE MARY, FL – August 24, 2020 – AssuredPartners, Inc. is pleased to announce the acquisition of Seattle, WA based Mainstreet Financial Services, Inc. The dedicated team of 11 professional liability experts currently report...
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    08/20/2020
    Illinois based Surety Broker Joins National Team LAKE MARY, FL – August 20, 2020 – Marking the 25th acquisition in 2020 for AssuredPartners, Dohn & Maher Associates of Palatine, IL will join the national broker. The dedicated team of 7 surety and insurance specialists will remain under the...
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    08/18/2020
    California based Insurance Team Joins National Broker LAKE MARY, FL – August 18, 2020 – AssuredPartners, Inc. is delighted to announce Hatter, Williams & Purdy Insurance Marketing, Inc. of Carlsbad, CA has joined AssuredPartners. The devoted team of 15 will remain under the operational leadership...
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    08/13/2020
    Continued Expansion in California for National Broker LAKE MARY, FL – August 13, 2020 – AssuredPartners, Inc. is pleased to announce the acquisition of Wilson Paves & Associates Insurance Agency, Inc. of Bakersfield, CA. The talented team of 12 will be under the operational leadership of...
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    07/15/2020
    LAKE MARY, FL – July 15, 2020 – AssuredPartners, Inc. is pleased to announce ENV Insurance Agency, LLC of Liverpool, NY has joined AssuredPartners. The dedicated team of 26 will remain under the operational leadership of Ed Vaughn and Terry Engels. The agency currently reports $7.5 million in...
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    07/09/2020
    LAKE MARY, FL – July 9, 2020 – AssuredPartners, Inc. is pleased to announce ENV Property & Casualty, LLC of Liverpool, NY has joined AssuredPartners. The team of 14 will remain under the operational leadership of John Levanti and Joe Morelli. The agency currently reports $2.5 million in annualized...
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