I heard that insurance companies were starting to have a problem with these because of all the gas leaks....any opinions on this?
kptoys
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Re: Underground oil tanks????
We had one... it leaked... now we have an above ground one. I dont know about the insurance part of it but the DEC can have a FIELD DAY with you.
TracyInQueens
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Re: Underground oil tanks????
If I remember correctly, additional tests will have to be done in order to make sure the soil is safe. I just know that I was glad that the house we bought did not have one because it would be a major PITA.
If you are very interested in a house with one, I would see if the homeowners would pay for additional testing.
ETA: I also called around a lot about HO insurance and I think it's more $$ with a buried tank.
NPbride
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Re: Underground oil tanks????
Funny that you ask this question. I just purchased our HO policy last night through our broker and the seller's have buried tanks (but we negotiated for them to abandon them before closing). Anyway, our broker said that many companies are starting to have a problem with it and most of them require testing every year to make sure they're not leaking. I didn't get a price quote for with the underground tanks but he did say that it would be more.
skew
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Re: Underground oil tanks????
i called a few different insurance agencies and only 1 asked about the oil tank. he said in order to provide a quote they would have to know the age and capacity of the tank. he also said that it would be best to have the tank abondoned some time in the future.
call around to different places and compare quotes. as mentioned, no one but the one company (state farm) even asked about the tank.
HearzBellz
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Re: Underground oil tanks????
Posted by Dani00518
I heard that insurance companies were starting to have a problem with these because of all the gas leaks....any opinions on this?
Definitely have the soil and the tank sonar tested before you buy. Once you sign the contracts it becomes your burden, and if the soil is contaminated, it can be up to a $10,000 problem with fines & the cost of clean-up. Also, do not let them do just a pressure test...it does not properly identify if there is a potenial problem.
I also have heard that if you chose to fill a tank that is buried before a problem arises that there are state incentive to help pay for it.
skew
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Re: Underground oil tanks????
Posted by HearzBellz
Posted by Dani00518
I heard that insurance companies were starting to have a problem with these because of all the gas leaks....any opinions on this?
I also have heard that if you chose to fill a tank that is buried before a problem arises that there are state incentive to help pay for it.
do you have more info on this?
jms100303
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Re: Underground oil tanks????
We were told that we would have a problems with the banks or our insurance company. But neither gave us a hassle.
We ended up abandoning our tank within a year of living here. Looking back I would have negotiated in the contract that this be done before closing and either:
a) we each pay half of a new tank and abandoning the old tank b) they pay to abandon the old tank and we paid for the new tank.
Our RE sucked, she advised us to negotiate nothing in the contract (there was one other issue with the electrical outside that looking back, they should have paid for because it was no longer up to code), saying with the market the way it was we would lose the house and the sellers would walk.
Jordan
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Re: Underground oil tanks????
Nassau requires that oil tanks all be above ground - so if they are underground, everyone has to move them above. I would expect Suffolk to follow suit.
Just something to consider.
HearzBellz
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Re: Underground oil tanks????
Posted by skew
Posted by HearzBellz
Posted by Dani00518
I heard that insurance companies were starting to have a problem with these because of all the gas leaks....any opinions on this?
I also have heard that if you chose to fill a tank that is buried before a problem arises that there are state incentive to help pay for it.
do you have more info on this?
i can ask my broker for it if you do not mind waiting a couple of days
KimberlyBride
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Re: Underground oil tanks????
We have an underground tank as well and we are in Suffolk. We had the soil tested before we closed to make sure there were no leaks. In a year or so we plan on filling with sand and putting a tank above ground.
Nassau requires that oil tanks all be above ground - so if they are underground, everyone has to move them above. I would expect Suffolk to follow suit.
Just something to consider.
thats not true, ours in still in the ground along with several hundreds in our town and neighboring towns.
