Statement From Nationwide Regarding Fracking On Their Properties!

Statement from Nationwide
Submitted by JoeCase on July 12, 2012 – 6:26pm.

Here’s is Nationwide’s official response to this issue:

Nationwide has not changed our policies or guidelines. Fracking related losses have never been a covered loss under a personal or commercial lines policy.

Nationwide’s personal and commercial lines insurance policies were not designed to provide coverage for any fracking-related risks. However, Nationwide will investigate all claims submitted by our customers that they believe are the result of damage from fracking. Every Nationwide claim is reviewed on a case-by-case basis.

Insurance works when a carrier can accurately price the coverage to match the risks. When information and claims experience are not available to fully understand the scope of a given risk, carriers aren’t able to price protection that would be fair to both the customer and the company. From an underwriting standpoint, we do not have a comfort level with the unique risks associated with the fracking process to provide coverage at a reasonable price.

Insurance is a contract and it is designed to cover certain risks. Risks like flooding and mining or drilling are not part of our contracts, and the customer should seek out an insurer that handles these customized types of insurance.

-Joe Case, Nationwide Mutual Insurance Company

*Thanks to TheRiverReporter.com for the story

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