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An insurance company is liable for the actual loss to premises that resulted when a motorist ran into the insured’s above-ground heating oil storage tank, but not for any contamination of the ground or groundwater, an appeals panel in Albany has held.

The Appellate Division, 3rd Department, parsed the contract between Mary E. White and New York Mutual Insurance Co. to determine that an exclusion in the policy exempts the carrier for some of its potential liability, but not quite as much as the company would prefer.

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