EC-Funded Research Suggests Approach to Insuring Nanomaterial Production Risk

In a Nature Nanotechnology commentary titled “The insurability of nanomaterial product risk,” business and scientific researchers funded by the European Commission (EC) propose a framework for the insurance industry to assess risks for purposes of issuing policies that will ensure the “commercial viability and long-term sustainability” of the nanotechnology industry. Noting that Lloyd’s of London and large insurers are “paying close attention to developments in the area of nanomaterials,” the authors suggest that uncertainty about nanotech risks has led insurance companies to carry this risk on their books, because they have failed to explicitly cover nanotechnology risks in their policies. They recommend that control banding, which rates risks according to exposure and toxicity levels, could provide the means to harness the uncertainties and allow policies to explicitly include nanomaterials. The commentary concludes, “In the absence of effective regulatory controls and a lack of legal clarity, control banding will allow nanoparticle production to be put on a more sustainable footing as the science in this emerging area develops.” See Nature Nanotechnology, April 2013.