Insurance companies have added their voice to warnings that a classification change to diesel could result in invalidating insurance claims made by operators unaware of their obligations.
Diesel is now classed as a flammable substance (in law) and its storage and handling now falls within scope of the Dangerous Substances and Explosive Atmosphere Regulations.
However, fuel firm Merridale has warned that many companies that store the fuel on their premises could be unaware of the change and therefore not complying with the new standards.
Towergate Insurance said the introduction of legislation ensures companies follow best and safe practices and this is often noted by an insurer when deciding whether to insure a trade or business.
However, Larry Smith, regional MD at Towergate Insurance’s motor division, said: “The legislation that businesses must comply with is constantly being amended and it is difficult to keep track. Failure to comply with the law could affect the validity of insurance policies, so it is vital that they keep up to date with the latest requirements.”
The Association of British Insurers said its members expect customers to be aware of and comply with, the relevant legal requirements and a spokesman said: “Failure to do so could affect a claim, depending on the circumstances and policy terms and conditions.”
