Ryan Transactional Risk (RTR) has launched a new insurance solution under the name Ryan Transactional Risk Enviro (RTR Enviro), focused on covering the risk of cost overruns associated with environmental cleanups.
The product is designed for use in corporate transactions, mergers and acquisitions, divestitures and real estate development projects where known environmental contamination is present.
RTR Enviro will offer environmental remediation cost overrun insurance using a remediation excess policy form supported by a defined-scope agreement. The coverage is structured to respond if remediation expenses exceed expected costs, helping transfer the financial risk associated with cleaning up known environmental issues. The product is available to both national and regional brokers and agencies across the US.
“Central to Ryan Transactional Risk’s belief in innovation, Ryan Transactional Risk Enviro is representative of RTR’s steadfast commitment to delivering transformative products to our valued clients,” said Rich Stansfield, CEO of Ryan Transactional Risk.
Cole Russo, director of RTR Enviro, added: “Ryan Transactional Risk Enviro is the leader in providing environmental remediation cost overrun insurance. We are bringing back a new and improved version of Environmental ‘Cost Cap’ insurance that has not been in the market for over 15 years.”
Environmental cost cap insurance was widely used in the US market until the late 2000s, when underwriting losses and claims volatility caused many carriers to withdraw. In recent years, there has been renewed interest in this type of coverage, particularly as environmental liabilities play a growing role in transaction due diligence. Insurers are returning to the space with more restrictive terms, narrower coverage scopes, and closer monitoring of project execution.
Projects involving legacy contamination, redevelopment of industrial or brownfield sites, or compliance with regulatory cleanup orders are among the common use cases for this type of policy. Coverage can help buyers, sellers, and developers cap their financial exposure to cleanup liabilities, often a key concern in deal negotiations or permitting processes.
The underwriting team for RTR Enviro includes Cole Russo, Roland Costanzo, and Al Nesheiwat, who bring specialized expertise in environmental risk and insurance product structuring.
Howden Capital Markets & Advisory served as the exclusive financial advisor for the launch. Willkie Farr & Gallagher LLP provided legal and regulatory counsel.
