The energy industry is not limited to oil, gas or energy generation companies. It has given birth to a host of various ancillary support and supplier businesses. Businesses which service pipelines, valves, terminals, pumps, compressors, scaffolding and more, represent a large segment of the energy industry and will have their own contractor’s insurance requirements.
Energy companies engaged in exploration and production (“E&P”) activities face an extraordinary amount of risk on multiple levels that are unique to the industry. The cost of energy insurance claims/cost continues to increase due to escalating dollar values combined with increasingly complex and interrelated risks. Whether we are insuring an oil and gas service contractor, an oilfield trucker, or a supplier to the oil and gas industry, our team understands the volatile risks involved and has built an all line solution to address the need.
We provide solutions for oil and gas businesses, including all aspects of oil and gas exploration, production, storage, transmission and processing various contractors serving these market sectors.
Energy insurance coverage is normally arranged on a “package” basis for upstream, midstream, and downstream exposures, with the latter sector dominating business interruption. Energy insurance packages typically include covers for onshore property, offshore property, time element (business interruption), well control/re-drill, and third-party liabilities (including pollution clean-up).
Along with risk analysis and loss control, it is imperative that a complete review of all policies and contracts is conducted to make sure they are congruent and there is no vague language. This review on the front end helps avoid costly disputes after an incident for E&P activities.