Can pollution liability insurance be used as a means of financial responsibility?

Pollution liability insurance can indeed be used as a means of demonstrating financial responsibility regarding underground storage tanks (USTs). This type of insurance provides coverage for incidents that may lead to environmental contamination, which can be financially burdensome for operators. By having this insurance, operators can cover the costs associated with cleanup and third-party claims resulting from pollution incidents.

This aligns with the EPA regulations, which allow certain insurance policies to meet the financial assurance requirements for operators of USTs. Therefore, demonstrating financial responsibility through pollution liability insurance reinforces the commitment to environmental protection while fulfilling regulatory obligations.

The other options consider alternative scenarios that do not align with the general acceptance of pollution liability insurance as sufficient financial responsibility, which is why they do not represent the broader applicability and intention behind the insurance policy in relation to UST operations.