| Abstract: | The possible applications of nanotechnology seem limitless and span across a wide variety of industries including manufacturing, agriculture, environment, pharmaceuticals, health care, security, information technology, communications, energy, chemicals, and even space exploration. However, the potential loss scenarios could go far beyond anything experienced to date and could bring about a new dimension in personal injury, property damage, and third-party liability risks. Insurers and re-insurers have been keeping a close eye on the development of nanotechnology. Of particular concern is the prospect that nanotechnology may give rise to “long tail” liabilities such as the asbestos, environmental, and toxic tort liabilities that have plagued insurers, policyholders, and society in the United States. Businesses involved in any aspect of nanotechnology should be prepared for possible liabilities arising out of progressive injuries by conducting meaningful risk management and familiarizing themselves with their insurance coverage programs to avoid having big, uninsured problems if they are confronted with losses arising from nanoscale materials. |
