US insurance company nixes coverage for damage related to hydraulic fracturing for oil and gas

ALBANY, N.Y. — Nationwide Mutual Insurance Co. has become the first major insurance company to say it won’t cover damage related to a gas drilling process that blasts chemical-laden water deep into the ground.

The Columbus, Ohio-based company’s personal and commercial policies “were not designed to cover” risk from the drilling process, called hydraulic fracturing, or fracking, Nationwide spokeswoman Nancy Smeltzer said Thursday.

http://www.washingtonpost.com/business/industries/us-insurance-company-nixes-coverage-for-damage-related-to-hydraulic-fracturing-for-oil-and-gas/2012/07/12/gJQAKMCYgW_story.html