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

© 1997-2018 Brotherhood of Locomotive Engineers and Trainmen

 


Decertification Helpline
(216) 694-0240

Sign up for BLET
News Flash Alerts

DAILY HEADLINES

AAR reports rail traffic for week ending December 8, 2018
California legislators call on Amtrak to stop union-busting plan in Riverside
Amtrak’s call center workforce deserves better
Airline, railroad stocks getting crushed
NJ Transit is buying new rail cars
$15.6 million railroad facility opens Des Moines to global markets
VIA Rail orders 32 trainsets from Siemens Canada
Howard Street Tunnel expansion back on as CSX returns to table with $91 million commitment
NS formally announces move to city of Atlanta
Editorial: A letter from Roanoke to Atlanta about Norfolk Southern
Opinion: A free-market ‘yes’ to Texas high-speed rail
$45 million plan announced to put overpasses over NW Indiana railroad crossings
Railroad Retirement and unemployment insurance taxes in 2019
Get the latest labor news from the Teamsters

More Headlines