80690. (a) “Cost overrun insurance” means insurance that covers some, or all, of the response costs caused by a known pollution condition at a site, that exceed the estimated response action costs that have been accepted and approved by the insurer, based on information from the department and other relevant sources at the time the insurance is first obtained.
(b) Cost overrun insurance shall, at a minimum, provide for all of the following:
(1) The response costs in excess of the estimated response action costs that have been accepted and approved by the insurer.
(2) A policy period of sufficient length to cover the duration of the response activities, not including post-completion operation and maintenance.
(3) A self-insured retention amount not to exceed 25 percent of the estimated response action costs that have been accepted and approved by the insurer.
(Added by Stats. 2022, Ch. 257, Sec. 2. (AB 2293) Effective January 1, 2023. Operative January 1, 2024, pursuant to Sec. 4 of Stats. 2022, Ch. 257.)