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By Sally Praskey, Editor, Insurance-Canada.ca ConsumerInfo

With the arrival of winter weather in the Atlantic region, the Insurance Bureau of Canada (IBC) reminds homeowners to check the condition of their oil tanks. It is the responsibility of homeowners to take the necessary precautions in order to avoid spills that are harmful to the environment and costly to clean up.

A home oil-tank checklist should include examining the tank for any sign of corrosion, and also making sure the connections to the tank are kept clear from snow and ice during the winter season.

“The unprecedented number of spills resulting from snow and ice buildup on lines and connections has put this issue in the spotlight for both the public and governments,” says Don Forgeron, vice-president Atlantic, IBC.

Industry statistics show that insurance claims from domestic oil-tank leaks and ruptures have been increasing by more than 50% per year in the last few years, taking the total to the tens of millions of dollars annually in Atlantic Canada. Between 1996 and 1998, total dollars paid out in claims from domestic oil-tank leaks and spills in Atlantic Canada exceeded $11.9 million, ranking as the sixth-highest category of claims made by consumers, after fire, wind and water damage, burglary, and liability.

The IBC safety advisory is part of a public education program that includes a consumer information brochure outlining the installation and maintenance of domestic oil tanks. The program also calls on the governments of Newfoundland and Labrador, Nova Scotia, and New Brunswick to regulate the installation and inspection of residential oil tanks. In 2001, Prince Edward Island became the first province in Canada to institute regulations regarding domestic oil-tank installations.

In another initiative to prevent leaks and spills, a partnership involving the insurance industry and university and private-sector research scientists has resulted in the development of a polymer-based coating for new domestic oil tanks that is expected to be in use by late 2002.

For more information, contact Don Forgeron, vice-president Atlantic, IBC, at 902-429-2730, Ext. 225.