Variance Management
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Environmental risk can impact your ability to acquire or sell a business; to purchase, sell, refinance, develop or, to realize revenue from the ownership of real estate.

The carefully considered management of risk enhances opportunities to monetize those assets.

A broad array of risk management tools are available. We excel at working with your team to develop practical ways to orchestrate these tools.


• Environmental insurance
• Contractural risk allocation
• Strategic retention of risk
• Quantitative modeling
• Environmental engineering
• Data management

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Variance Management - a boutique firm founded in 2003 that specializes in developing and implementing environmental insurance and other risk management solutions for our clients. Our managing member is...

ROBERT ROSENFELD. Unprecedented training, experience and record of accomplishment deployed on your behalf. Your project is too important to be delegated to "staff."

About Robert Rosenfeld



managing director of Variance Management, specializes in risk management consulting and insurance brokering for clients whose transactions or operations are impacted by environmental issues. He has extensive experience in the management of environmental liabilities associated with real property acquisitions and divestitures, portfolio management, mergers and acquisitions, redevelopment and remediation projects (including Brownfield sites and military base redevelopment), and the operation of various industrial facilities. He is a leader in the application of quantitative models for evaluating projects and asset/liability encumbered by environmental risk and frequently speaks to trade and professional groups on these topics.

Robert's prior experience in insurance includes management of the environmental practice of an insurance brokerage firm and consulting work with insurers on environmental risk underwriting.

His extensive technical experience includes management of an environmental consulting firm delivering a full range of site assessment, R&D and analytical services to corporate and government agency clients, preceded by over ten years managing federal and state funded R&D programs in chemical physics and environmental science as an associate professor at the University of California, Davis.



University of California, Los Angeles, CA // B.S. Chemistry
Stanford University, Stanford, CA // Ph.D. Chemistry (Chemical Physics)

Chartered Property and Casualty Underwriter (CPCU)




work on a variety of complex industrial redevelopment and decommissioning projects as well as numerous, more routine transactions. Our approach to each is characterized by a deep dive into the engineering data and careful attention to optimizing contracts for our clients' benefit.


Some exemplary projects...


Redevelopment of former aerospace manufacturing site

Southern California 2016-2018

• Due diligence - consulted with client, negotiating to acquire site used by seller for manufacturing aircraft parts and R&D. Seller provided limited disclosure and would permit no invasive testing. Designed a detailed approach for non-invasive testing that was implemented. Estimated possible remedial costs under various assumption sets that permitted client to negotiate useful indemnity from seller.

• Researched regional groundwater contamination and hydrology and, with no on-site groundwater sampling data, negotiated environmental insurance coverage for groundwater independent of seller indemnity.

• Negotiated environmental insurance coverage for on-site soil. Phase II soil vapor data was positive for petroleum hydrocarbons over a wide area. Insurer proposed to exclude TPH remedial costs until we were able to show that the raw laboratory data was inconsistent with any standard hydrocarbon mixture. Client's development plans would have been impossible absent the removal of that coverage limitation.

Development of contaminated vacant land

Southern California

• Site with extensive imported fill contaminated with lead.

• Based on soil sampling data and client's development (excavation) plan, we were able to negotiate environmental insurance including coverage for lead subject to a deductible based on our estimates of disposal costs.

Redevelopment of former Navy facility

Northern California

• Integrated environmental insurance with DOD obligation to fund specified remedial costs.

• Negotiated environmental insurance with array of retentions specifically targeted to contaminant, location, medium.

Renovation and new construction, landmark hotel

Southern California

• Designed and negotiated portfolio of integrated environmental insurance products (environmental impairment liability policies for both on-site and off-site work, OCIP coverage for construction, mold/legionella coverage for ongoing operations) for renovation of landmark hotel with on-site dry cleaner, including extensive asbestos abatement. Construction of two new high rise condominium towers

Redevelopment of former auto manufacturing facility

New York

• Complex project to build large residential community.

• Significant areas of contamination (TPH, PCBs, chlorinated solvents).

• Worked with environmental engineers to adequately profile extent of slab.

• Contamination, location of parcels with imported fill. Mapped this onto development plan so that environmental insurance policies could be negotiated with limited coverage restrictions.

• Negotiated four separate environmental insurance policies (primary and excess) for benefit of developer, seller (auto manufacturer) and HOA entity to be created

Expert witness & consulting services to secure CUP for upgrading a petroleum pipeline


• Retained by client energy company to analyze County-mandated insurance requirements vs. client's existing insurance program. Contested County's experts' opinions that a massive environmental insurance program was required.

• Detailed analysis of financial responsibility requirements, client's financial capacity to fund potential damages, utility of various types of insurance.

• We were successful in demonstrating to County adequacy of client's risk management and insurance programs. CUP granted with no additional insurance


Typical environmental insurance policies require substantial modification before they're acceptable as a client risk management tool. We've drafted entire insurance policies ab initio. Most of our projects include the drafting and negotiation of a dozen or more changes in the proposed insurance policy language. We have unparalleled insight into what's possible in this regard.

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us to discuss any issues of interest related to environmental risk.


Robert N. Rosenfeld, Ph. D., CPCU
Variance Management