Arkansas HVACR NewsMagazine September 2026

Many HVAC contractors are seeing a new exclusion appear on their General Liability policies: the Perfluoroalkyl and Polyfluoroalkyl Substances (PFAS) Exclusion. While it may seem like just another endorsement, it has the potential to create significant coverage gaps if not properly addressed. The PFAS EXCLUSION: What Every HVAC Contractor Needs to Know

4 QUESTIONS EVERY HVAC CONTRACTOR SHOULD ASK THEIR INSURANCE ADVISOR

Does my General Liability policy include a PFAS exclusion?

Do I have a Contractors Pollution Liability policy?

A HISTORY OF NARROWING COVERAGE

Does my pollution policy cover mold, Legionella, and transportation pollution?

General Liability policies have steadily narrowed pollution coverage over the past several decades. Beginning in the 1970s, insurers introduced pollution exclusions, culminating in the Absolute Pollution Exclusion in the mid-1980s. Since then, contractors have relied on separate environmental insurance policies to address many pollution-related exposures. PFAS is simply the latest evolution of that trend.

Is PFAS included within the policy's definition of a covered pollutant?

Understanding the answers to these questions today can help prevent a costly uninsured claim tomorrow.

Good News

For HVAC contractors, PFAS should not be viewed as a standalone issue. Your greatest environmental exposure often isn't PFAS itself, it's the potential to create a pollution event at a customer's property. Improperly managed moisture leading to mold, Legionella bacteria resulting from HVAC or water systems, refrigerant releases, or transportation related pollution incidents can all result in costly claims that are excluded under a standard General Liability policy. THE SOLUTION: LOOK BEYOND THE GENERAL LIABILITY POLICY

These exposures can be addressed. A well designed Contractors Pollution Liability (CPL) policy can provide coverage for jobsite pollution events, transportation pollution, mold, Legionella, and other environmental liabilities. Just as importantly, contractors should work with an insurance advisor who understands the environmental marketplace and can confirm whether PFAS is included within the policy's definition of a covered pollutant, rather than excluded.

Parsons - ins . com

jp @ parsons - ins . com

501 - 547 - 8899