Types of “Non-Product” Exposure
“Non-product” exposure generally arises from:
- Premises claims - visitor to a policyholder facility is exposed to asbestos
- Operations claims - bystander is exposed to asbestos within a policy period during the operations of a contractor
Most “non-product” claims are small and routine
- Paid claims less than $21 million in 2002 (excluding policyholders with settlement agreements)
Certain factors, when combined, can create a serious “non-product” exposure:
- Large asbestos installers with extensive activities
- Coverage from a limited number of insurance carriers
- Bankruptcy
- Special circumstances (eg. PPG)