Fuel Oil or Kerosene Dealers

What Does GL Code 13204 Cover?

ISO GL class code 13204 applies to businesses engaged in the sale and distribution of fuel oil or kerosene, primarily for heating purposes or as a power source for machinery. This class encompasses operations involving the storage, transport, and delivery of these petroleum products to residential, commercial, and industrial clients. It classifies the inherent general liability exposures associated with handling flammable liquids.

Who Uses This Class Code?

Businesses that fall under this code include heating oil suppliers, kerosene distributors, bulk fuel oil delivery services, and companies operating fuel oil storage facilities. This also covers entities providing on-site refueling for construction equipment or agricultural machinery using fuel oil.

Common GL Claims for This Class

Common claims include property damage from fuel spills during delivery or transfer, leading to environmental cleanup costs and third-party property damage. Another frequent claim involves fires or explosions caused by improper handling or storage of fuel oil, resulting in significant property damage and bodily injury.

Coverage Tips for Code 13204

• Ensure your pollution liability coverage is adequate for potential spills during transport or delivery, as standard GL policies often exclude this.
• Verify proper licensing and adherence to all federal, state, and local regulations for fuel storage and transportation to avoid regulatory fines and coverage disputes.
• Implement robust safety protocols for handling and dispensing flammable liquids to mitigate fire and explosion risks, which are major GL exposures.
• Review your policy for specific exclusions related to underground storage tanks (USTs) and ensure separate coverage is in place if applicable.