Analysis of the Price-Anderson Act

GAO conducted an analysis of the Price-Anderson Act, which governs offsite nuclear accident liability. The act was designed to encourage private industry to participate in the nuclear industry by assisting it with the costs of liability anticipated in the case of a nuclear accident. Recovery to accident victims is available through common law liability, coverage by private insurance, and government indemnification (reimbursement). Licensees must maintain financial security against offsite liability for a nuclear accident in an amount equal to that available through private insurance. Liability beyond this amount would be assumed by the federal government up to a limit of $560 million per incident.