Insurability of Unknown Postclosure Liabilities

ABSTRACT Although closure sureties cover works that are carried out during the existence of a mining company, certain liabilities are not known when the surety is established and become apparent only in a late stage of the closure phase, or even after the site has been relinquished. This paper supports the concept that these financial risks lend themselves to insurance solutions. Making insurance for unknown liabilities mandatory while defining unambiguous legal conditions could create a viable market for insurance products, provide a sufficient statistical basis for the calculation of premiums, and reduce costs.