I think Energy In Depth Marcellus, the gas company PR site, must have posted this article hoping that people would only read the "our policies have not changed and we won't cancel policies because of leasing or drilling." Its conclusion is pretty bleak for people whose land is fracked:
Nationwide's policy or treatment of this issue is common practice within the insurance industry, as traditional homeowners or farm owners insurance policies generally do not include coverage specific to the unique processes and activities of the oil/gas development process.
In the end, this "story" isn't about one insurer. Rather, it's about reiterating what is common insurance industry practice that traditional homeowners or farm owners policies generally do not anticipate or insure against the specific activities associated with oil and gas exploration.
Or, to put it more briefly - "You're on your own. Insurance companies aren't interested in covering the risks of gas drilling for what we make on small-scale policies."
Whether or not that's a change, it's definitely a story everyone going into this should know. These are not household-level risks, even though they involve households.Posted by simon at August 3, 2012 7:02 AM in energy