https://robfreeman.com/whatanaerobic... Anaerobic digestion insurance should cover the risks involved in the capturing and refinement of biogas... This process involves chemical compounds, both toxic and volatile, as well as nontoxic materials that may be considered “pollutants”.

Unfortunately, the standard commercial general liability (CGL) insurance form excludes pollution incidents and the breadth of the CGL pollution exclusion is underpinned by the defined word “pollutant“.

The term “pollutant” doesn’t have to equate to “hazardous”...

The standard definition of “pollutant” in the CGL policy uses broad language and may be further expanded by endorsement to exclude almost everything pollutionrelated.

A pollutant is simply something that’s not where it’s supposed to be – and as a result – creating a liability or causing some sort of damage.

"Pollutants" mean any solid, liquid, gaseous or thermal irritant or contaminant, including smoke, vapor, soot, fumes, acids, alkalis, chemicals and waste. Waste includes materials to be recycled, reconditioned or reclaimed."
Insurance Services Office, Inc.

Claims examples include lawsuits filed by neighbors over odors produced by anaerobic digester facilities and other environmental pollution claims.

One lawsuit occurred in Nebraska with 16 lawsuits being filed by individual homeowners neighboring a methane processing plant.

The methane processing facility owner, Big Ox, began operations in September 2016, separating solids from industry wastewater to create and refine methane before injecting it into a nearby natural gas pipeline. Soon after it began operations, Big Ox was subject to odor complaints and was cited for numerous environmental violations until it shut down in 2019. The company subsequently filed separate environmental claims against other companies.

In each of these lawsuits, a standard commercial general liability policy would have likely denied the claim because of a total or absolute pollution exclusion.