Lexington Insurance Company to Insure Conservation and Mitigation Banks
March 15 2012 - 10:10AM
Business Wire
Lexington Insurance Company, a Chartis company, today announced
the introduction of LexEcoBankSM, first party coverage for the
conservation and mitigation banks that are being developed and
managed to provide natural resource values.
“Habitat credits - the financial instruments that represent the
ecological value associated with an acre of ecosystem - are the
currency of conservation and mitigation banking,” said Erik
Nikodem, Senior Vice President and Property Division Executive of
Lexington. “Investment returns suffer if habitat credit sales are
delayed as a result of direct physical loss or damage to the
habitat that reduces its ecological value. LexEcoBank was developed
to protect both the property and the habitat credits.”
LexEcoBank is stand-alone named peril coverage for owners and
operators of conservation and mitigation banks. In the event of a
covered loss to the habitat before the bank enabling instrument is
executed and credits can be sold, the policy will pay restoration
expenses and bank credit loss incurred by the policyholder. Bank
credit loss valuation can be written on an agreed value basis. If a
covered loss occurs after the bank enabling instrument has been
executed, the policy will pay restoration expenses required to meet
the ecosystem performance criteria outlined in the instrument.
Policy terms of up to 5 years are available to support the bank
development lifecycle.
LexEcoBank joins UpGrade to Green® and CarbonCover® in
Lexington’s EcoSurance® suite of products designed to support
environmental sustainability. For additional information about
LexEcoBank, please contact Edward Fox, Inland Marine Product Line
Manager at Lexington, at (617) 235-8970 or
edward.fox@chartisinsurance.com. You can also visit us at
www.lexingtoninsurance.com.
About Chartis
Chartis is a world leading property-casualty and general
insurance organization serving more than 70 million clients around
the world. With one of the industry’s most extensive ranges of
products and services, deep claims expertise and excellent
financial strength, Chartis enables its commercial and personal
insurance clients alike to manage virtually any risk with
confidence.
Chartis is the marketing name for the worldwide
property-casualty and general insurance operations of Chartis Inc.
For additional information, please visit our website at
http://www.chartisinsurance.com. All products are written by
insurance company subsidiaries or affiliates of Chartis Inc.
Coverage may not be available in all jurisdictions and is subject
to actual policy language. Non-insurance products and services may
be provided by independent third parties. Certain coverage may be
provided by a surplus lines insurer. Surplus lines insurers do not
generally participate in state guaranty funds and insureds are
therefore not protected by such funds.