Nova Scotia brokers want to put the onus on oil companies for oil tank maintenance, replacement

Nova Scotia brokers are tired of playing the role of a “regulator” when it comes to policyholders’ oil tanks, and want oil companies to assume responsibility for properly maintaining the tanks.

“We seem to be the regulator,” Richard Bishop, president of the Insurance Brokers Association of Nova Scotia (IBANS), said at the annual general meeting of the Insurance Brokers Association of B.C. on May 9. “We tell policyholders, you’ve got to move it out, it’s too old, and so on.”

Bishop said oil companies, not brokers, should be taking responsibility for advising consumers on the proper maintenance and replacement of their oil tanks.

Under a leasing agreement, for example, oil companies would not only lease their tanks to consumers, they would be responsible for installing, maintaining and repairing the equipment. Consumers would not own the tanks under this scenario.  

“Put the onus on the oil companies that supply the tanks,” Bishop said. “Make them lease, and not own. These are one of the things we are looking at in Nova Scotia.”