Insurance Review & Programme Design

Insurance Review & Programme Design assists in the structuring of conventional property insurance coverage for the most effective risk transfer. Sciemus can also establish changes to the amount of risk contained within each portion of the programme if deductibles are increased/decreased – this is not a linear relationship as one might expect due to the changes to risk profile from applying policy wide deductibles to specific components – particularly critical if multiple technologies are present on a single risk.

The entire outage profiles of each plant or portfolio can be analysed in order to specify:

• The amount of risk retained on the balance sheet
• The attachment points and programme design for retained, primary and excess layers

The Benefits:

• Provides owners and operators with insight regarding target premium for each layer of risk
• Optimum coverage's and exclusions identified so as to facilitate attachment point and deductible negotiation with the underwriters.
• Assist in planning cash reserves for forced outages sub-deductibles.
• Allows for quantification of Contingent BI cover requirements for downstream transmission infrastructure
• Provides insight into imposed sublimits or component specific deductibles and the implication for the Balance Sheet

Commercial Applications:

• Assists in procurement of additional risk products to cover risk layers not facilitated by traditional property insurance cover.
• Establishes better relationships with insurance carriers through more informed risk submissions and better understanding on how the risk alters with deductible changes

Sciemus specialise in the processing of outage data, not just insurance PD/ BI claims. This gives us valuable insight into asset performance below the time and cash deductibles that may be applied to the insurance policy. Sciemus can also assist in identifying serial defect – by comparing the Owner/Operator data on their asset performance to the global benchmark to identify whether a series of outages represent a set of random event or if there is evidence of serial defect within the assets.