7061 East Pleasant Valley Road, Independence, Ohio 44131 • (216) 241-2630 / Fax: (216) 241-6516

Membership
Benefits
News and Issues
Departments
Information
Secretary-Treasurer
Merchandise
Communications
FELA
Events
Links
User Info

U.S. Rep. wants to cut hazmat financial risks to rail

(Reuters circulated the following article on June 13.)

WASHINGTON -- A senior Republican lawmaker influential on transportation matters said on Tuesday he will explore options for reducing the financial risk to railroads when they carry hazardous materials.

Rep. Steven LaTourette, chairman of the House of Representatives railroad subcommittee, told industry officials at a hearing that insurance coverage is expensive and limited.

Hazardous materials, like chlorine, ammonia and some resins, are important to operating many industries and are often or nearly exclusively shipped by freight rail. These goods make up less than 1 percent of total carloads but 50 percent of insurance costs.

“Due to the expense and lack of available coverage, most railroads are only able to insure a fraction of their net worth,” the Ohio Republican said. “For a smaller carrier, a single hazmat accident might force the company into bankruptcy.”

LaTourette plans to explore news ways of addressing risk exposure for very hazardous commodities. He suggested that Congress could limit liability for accidents, which is done when railroads haul nuclear material.

“Other alternatives might be a federal liability compensation fund, a national (insurance) program or perhaps even a tort cap,” LaTourette said.

Wednesday, June 14, 2006

Like us on Facebook at
Facebook.com/BLETNational

Sign up for BLET News Flash Alerts

© 1997-2019 Brotherhood of Locomotive Engineers and Trainmen

 


Decertification Helpline
(216) 694-0240

Sign up for BLET
News Flash Alerts

DAILY HEADLINES

AAR reports traffic decline for week ending December 7, 2019
FRA seeks to delay implementation of training for safety-related railroad workers
Liquefied natural gas can now be shipped by rail, despite explosion concerns
Railroads, shippers grapple over revenue adequacy at STB hearing
Train safety technology hasn’t quite reached the station
“Safety is not the priority” at MBTA, experts write in scathing new report
NJ Transit set to borrow $500 million to replace old trains and buses
NJ Transit graduates more engineers, says it has hired the most in its history
CN says grain movements back to pre-strike levels
Case of man accused of armed confrontation with BNSF train crew heads to jury
RRB Q&A: Working after retirement
Get the latest labor news from the Teamsters

More Headlines