Skip to main content

Balance Sheet Liabilities

The Securities and Exchange Commission (SEC) and other financial regulators frequently require that environmental liabilities be recorded on the balance sheet of publicly-traded companies. Proactively managing your balance sheet liabilities can help control costs and yield favorable external optics.

Environmental liabilities on corporate balance sheets take many forms including, but not limited to:

  • Cleanup or remediation costs
  • Potentially responsible party (PRP) involvement
  • Third-party lawsuits for bodily injury and property damage
  • Asbestos liabilities
  • Product liability claims

These liabilities are subject to significant public scrutiny by individual investors, investor groups, activists, and regulators. In addition, they represent a material financial liability with associated future expenses to the organization, especially if costs increase over time. And they often do.  

Fortunately, there are environmental solutions — both risk transfer and off balance sheet — available to proactively manage balance sheet liabilities and to help limit expenditures and reputational risk.

Marsh’s Environmental Practice can review your environmental balance sheet liabilities, advise you on a wide range of potential solutions, and execute on selected solutions to help manage your environmental balance sheet risks.

Our people

James Vetter

James Vetter

Managing Director, Environmental Practice