You Deliver the Fire Risk to the Customer's Door.
Protecting propane, fuel oil, and bulk-fuel dealers
Fuel and propane dealers don't run an ordinary store — they store, haul, and deliver flammable and combustible product, and the exposures that define the business are fire, explosion, pollution, and the road. A bulk plant holds thousands of gallons under pressure or in tanks; delivery trucks are rolling hazmat units; and the dealer sets tanks and fills them at customers' homes and businesses, which means a spill, an overfill, or a leak can happen anywhere the product goes. These are catastrophic, environmental, and transportation risks that a general liability or business owners policy excludes outright. A fuel dealer needs a program built around the hazard it actually handles, not a retail template. This class sits far from a typical retail store on the risk spectrum.
Properly structured coverage protects the bulk plant, the fleet, the customer sites, and the environment around all of them.
The Fuel Dealer's Signature Exposures
The defining exposure is a combination of fire and pollution tied to a flammable product in motion. A bulk-plant fire or explosion, a delivery-truck rollover or spill, an overfill at a customer's tank, and a slow leak from a tank the dealer set and maintains are all catastrophic, and most involve pollution — a discharge into soil or groundwater that a standard policy's pollution exclusion leaves uncovered. Transportation is central: hauling fuel is a hazmat operation with its own auto, cargo, and federal regulatory exposure. Completed operations matter too, because a leak or failure after the dealer installed or filled a tank traces straight back to the dealer.
Key Risks in Fuel & Propane Operations
Fuel and propane dealers face exposure related to:
A fire or explosion at the bulk plant or a storage yard
A delivery-truck spill, rollover, or collision hauling fuel
An overfill or discharge at a customer's tank during delivery
A leak from a tank the dealer set, serviced, or filled
Soil and groundwater contamination from a spill or underground tank
Bodily injury or property damage from a fire at a customer site
DOT, EPA, and state regulatory violations and cleanup orders
Fire, explosion, and pollution — on the road and at customer sites — define the exposure.
Core Coverages for Fuel & Propane Dealers
A properly built fuel-dealer program typically includes:
General & Products / Completed Operations Liability — Covers injury and damage from deliveries, tank sets, and fills after the work is done.
Pollution & Environmental Liability — Responds to spills, overfills, and tank leaks that contaminate soil or groundwater.
Commercial Auto (Hazmat) & Motor Truck Cargo — Cover the delivery fleet hauling flammable product and the product in transit.
Commercial Property & Equipment Breakdown — Insure the bulk plant, tanks, pumps, and their mechanical failure.
Business Income & Extra Expense — Replaces income after a fire, explosion, or regulatory shutdown.
Crime / Theft Coverage — Covers fuel theft, robbery, and employee dishonesty.
Workers' Compensation — Provides legally required coverage for drivers and yard staff.
Umbrella / Excess Liability — Adds the high limits a fire, explosion, or pollution claim can demand.
What's Commonly Overlooked
Fuel and propane programs are most often weakened by:
A general liability policy with a pollution exclusion and no environmental coverage
Auto limits too low for a hazmat fleet and the severity of a tanker loss
No completed-operations coverage for the tanks the dealer sets and fills
Underinsured bulk-plant property and no equipment-breakdown coverage
Umbrella limits sized for retail, not for a fire, explosion, or spill
The gap that hurts most is relying on a standard policy that excludes the pollution and hazmat exposures at the center of the business.
Real-World Claim Examples
A delivery truck rolls over and spills fuel into a waterway
An overfill at a customer's home discharges propane or fuel oil onto the property
A bulk-plant fire destroys storage and halts deliveries for weeks
A tank the dealer set years ago leaks and contaminates groundwater
A regulator issues a cleanup order and penalties after a spill
A single fire, spill, or pollution event can reach well into the millions.
Why Proper Placement Matters
Fuel and propane dealing is a high-hazard, heavily regulated class, and placement turns on the specifics: storage volumes and tank types, the size and routes of the delivery fleet, the hazmat and DOT compliance in place, the customer-site tank-set and service work, and the pollution controls at the plant. Most of this risk is written in specialty and excess-and-surplus-lines markets that underwrite flammables, hazmat transportation, and environmental exposure. Presenting a disciplined safety, maintenance, and compliance record is what opens appetite and controls cost in a class many standard carriers decline.
Our Approach
At Cory Washington & Co., we build fuel and propane dealer programs around the real hazard — coordinating products and completed-operations, pollution, hazmat auto, cargo, and bulk-plant property so a spill, a fire, or a customer-site leak is actually covered rather than excluded. We size umbrella limits to the severity these operations carry and access the specialty markets built for them. We also insure related operations, including home improvement stores, outdoor power equipment dealers, and convenience stores.
You move the fire risk down the road and onto customer land — we build coverage that moves with it.
All insurance descriptions on this website are provided by Cory Washington & Co. LLC strictly for general informational purposes. They are not intended to be, and should not be relied upon as, legal, financial, or insurance advice. The information presented is general in nature and does not guarantee the availability, terms, conditions, or scope of any insurance coverage. Actual coverage is determined solely by the specific policy language issued by the insurer and remains subject to underwriting approval. Nothing on this website creates or implies an agent-client relationship, binds coverage, or alters any existing policy. Cory Washington & Co. LLC expressly disclaims any liability for actions taken, or not taken, based on the content provided here. For advice regarding your particular situation, please consult directly with a licensed insurance professional at Cory Washington & Co. LLC or another qualified insurance professional, and always review your policy documents in full.
See the coverages a fuel & propane dealer business may carry — core, prevalent, and situational — plus the gap most often missed, in the Fuel & Propane Dealer Coverage Checklist.
Complete the Fuel & Propane Dealer Supplemental online in a few guided steps, download the fillable PDF, or browse all applications.
Frequently Asked Questions
How do I get fuel & propane dealer insurance through Cory Washington & Co.?
Request a quote or contact our team. We start with a short conversation about your operations, analyze your exposures, then negotiate fuel & propane dealer insurance across multiple carriers that compete for your account and present options with the trade-offs explained. Cory Washington & Co. LLC is licensed in all 50 states.
What drives the cost of fuel & propane dealer insurance?
Premiums vary from business to business. The main drivers of fuel & propane dealer insurance pricing are the nature of your operations, your revenue and payroll, your loss history, and the limits you carry. Rather than quote a flat figure, we negotiate across several markets and walk you through the options, so you only pay for the protection you actually need.
Do I need fuel & propane dealer insurance?
Requirements vary. Fuel & propane dealer insurance may be mandated by statute, or required under your contracts, leases, or loan agreements — and in many cases it is simply prudent given the risks involved. We look at your specific obligations and exposures, then recommend the coverage and limits that fit.
What if another agency has already declined or non-renewed my coverage?
Difficult, specialty, and previously-declined placements are a core part of our work. We access excess & surplus (E&S) and specialty markets that many generalist agencies cannot, and we explain the trade-offs clearly so you can decide with confidence.
Available in all 50 states. See how requirements differ in California, Texas, Florida, New York, or choose your state.