What Price-Anderson Doesn't Cover

If you're a contractor at a DOE facility, you've probably heard the phrase "Price-Anderson covers that" more times than you can count. It's become a kind of magic incantation in the nuclear contractor world — a belief that the federal government's indemnification program eliminates the need to think seriously about insurance.

It doesn't. And the gap between what Price-Anderson actually covers and what contractors assume it covers is where firms get hurt.

The Price-Anderson Nuclear Industries Indemnity Act was enacted in 1957 to ensure that the public would be compensated in the event of a nuclear incident at a DOE facility. It provides federal indemnification currently capped at $16.6 billion per incident. That's an enormous number, and it covers an enormous scope — personal injury, property damage, evacuation costs, claims investigation, and settlement expenses arising from a nuclear event.

But here's what it doesn't cover: everything else.

Professional liability claims — when your engineering deliverable contains an error that causes project delays or rework — that's not a nuclear incident. Price-Anderson doesn't apply. Cyber breaches — when a threat actor compromises your systems and exfiltrates Controlled Unclassified Information — that's not a nuclear incident either. Pollution events that don't involve radioactive materials? Not covered. Workplace injuries from non-nuclear hazards? Your workers' compensation policy handles those, not Price-Anderson.

The distinction matters because DOE contractors face a uniquely complex risk environment. You're operating at facilities with radiological hazards, environmental contamination, classified information, sophisticated cyber threats, and high-consequence professional obligations — all at the same time. Price-Anderson addresses one dimension of that exposure. Your commercial insurance program needs to address everything else.

And yet most brokers treat DOE contractors like any other commercial account. They confirm that Price-Anderson indemnification exists, check the box, and move on to shopping your GL and workers' comp on price. They don't ask about your professional liability exposure on technical deliverables. They don't examine whether your pollution coverage extends to non-radiological contamination at legacy sites. They don't structure cyber programs around DFARS requirements and CUI handling obligations.

The result is a coverage program with a $16.6 billion nuclear indemnification sitting on top of a foundation full of gaps. It's like putting a titanium roof on a house with no walls.

At PFTN, we understand where Price-Anderson ends and your commercial exposure begins. We map every non-nuclear risk in your operation — professional liability, cyber, pollution, auto, workers' comp, umbrella — and build a program that actually protects the contractor, not just the public.

Because the $16.6 billion doesn't help you when the claim isn't nuclear.