Effective July 1, 2010, a new law is effective in Massachusetts addressing oil leaks from home heating systems (per Chapter 453 of the Acts of 2008).

The law has two major provisions requiring:

Bell & Hudson Insurance Agency just learned that the deadline for compliance for the upgrade of unprotected fuel lines, defined in Massachusetts General Law Chapter 453, has been exteded from July 1, 2010 to September 30, 2011.  The insurance companies continue to be required to offer remediation insurance coverage as of July 1, 2010.

1.      the installation of either an oil safety valve or an oil supply line with protective sleeve on systems that do not currently have those devices; and

2.      Insurance companies that write homeowner policies to offer coverage for leaks from heating systems that use oil.

If an insured is in compliance with the new law, coverage will be made available via endorsement(s) to the homeowner insurance policy.  Evidence may be required by the insurer to determine that the homeowner is in compliance with the law.
Insurance losses that occur due to leaks of home heating oil are never small losses!  Without the inclusion of this endorsement on your home policy, there is a strong likelihood that losses caused by the escape of heating oil will not be covered.

Therefore, we strongly recommend that you include this coverage on your home insurance policy.  The annual cost for this coverage varies by company.  Please call our office for a quote for your policy and with any other questions or concerns about this new law!

Click Here for more detailed information on the Heating System Upgrade and Insurance Law.