ITALY Law and Practice Contributed by: David A Röttgen, Andrea Farì, Francesco Fonderico and Ermanno Fonderico, Ambientalex Studio Legale
8. Insurance 8.1 Environmental Insurance
and non-complex entities and captive insurance companies; and • from 1 January 2028, reporting requirements will also apply to branches of non-European parent companies that exceed certain revenue limits in the EU. 6.6 Environmental Audits The Environmental Audit is essentially a voluntary instrument. As yet, the national legislature has not made this activity mandatory. However, the law sup- ports companies that undertake environmental audits by granting them economic benefits through signifi- cant reductions in the amounts of their surety policies and the duration of their environmental authorisations. As an example, Article 29-octies co 8 of the Code, applicable to IPPC plants, extends the duration of the IPPC permit: • from ten to 16 years for EMAS registered installa- tions (Regulation (EC) No 1221/2009); and • from ten to 12 years for IPPC plants certified according to UNI EN ISO 14001. When representing the governing body of the compa- ny, directors have direct environmental liability, unless they have properly delegated environmental liability by proxy ( delega ambientale ). The criteria and formalities for a valid delega ambientale are set forth by case law. The contents of a delega ambientale need to be evaluated case by case for each respective business. Companies may take out environmental insurance policies which, depending on the contractual terms, may also provide coverage for the personal positions of directors, officers or other persons in positions of responsibility. However, such coverage is governed by the specific terms of the agreement between the broker and the contracting company, and therefore falls within the scope of the contractual agreements between the parties. 7. Personal Liability 7.1 Directors and Other Officers
Environmental insurance is available in the Italian market, including those policies targeted at directors and managers who may attract personal liability for environmental misdemeanours committed in the com- pany’s interests. There is no obligation to have general environmental insurance. Insurance products covering damage by pollution are available in the Italian market (eg, Pool Ambiente, an association of insurers and reinsurers). However, insurance products are also offered by companies that are not part of Pool Ambiente. The insurance products depend on the type of activity to be insured as well as on the “price” that the party requesting coverage is willing to pay – and, last but not least, on the respec- tive negotiation positions. It is advisable to evaluate the content and extent of the respective insurance products (eg, remediation costs, environmental dam- age, legal and technical consulting, current or future legislation, etc) on a case-by-case basis. Requests for environmental insurance are increasing. Businesses obtaining ISO14001 Certification or EMAS registration pay reduced insurance fees. In certain cases, national and regional laws require certain enterprises that are likely to have an environ- mental impact to provide guarantees for an amount calculated on the basis of pre-set criteria (eg, waste management companies, IPPC activities). The extent to which effective coverage is offered by environmental insurance requires particular atten- tion. Professional insurance may cover all financial aspects, including the cost of legal proceedings, with the exception of criminal sanctions that restrict per- sonal liberty. However, Italian Budget Law 2024 (Law 213/2023) introduced the obligation to take out specific insur- ance coverage against damage caused by natu- ral disasters and catastrophic events. Although not equivalent to general environmental insurance, such obligation applies for all companies with a registered
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