Free Trial

Reactions Copying and distributing are prohibited without permission of the publisher

Grappling with energy’s shifting exposure base

16 March 2010

The international oil and gas industry is perhaps the most valuable of all and provides premium-hungry insurers and reinsurers with a seemingly endless supply of demand at a time when profitable premium growth is tough to find. But the risk-reward ratio is increasingly difficult to master.

Read more: energy oil gas noc ioc

Energy specialists agree that demand for fossil fuels will continue to rise quickly for years to come driven largely by the fast-growing economies of China and India, despite ever-rising pressure to limit consumption of such energy sources and shift to cleaner alternatives.

But while the opportunities for the risk transfer market are obvious this is not an easy area in which to identify, measure, manage and transfer risks, not least because of the added complexities brought by the green agenda and new risks emerging from the need to find and exploit ever new sources of energy in ever more remote difficult to access places.

This taxing and fast-changing macro-economic and risk management landscape was discussed in depth at a recent National Oil Companies (NOC) conference in Dubai, organised by broker Marsh and attended by about 200 senior executives from leading NOCs, international oil companies (IOCs) and a range of service...


  • Philippines Earthquake Mw 6.7 06 Feb 2012 - On Monday, 6 February a magnitude Mw 6.7 (regional moment magnitude) earthquake ...
  • Queensland Floods 06 Feb 2012 - Monsoonal rains since mid-January have resulted in flooding in northeast Australia, affecting ...
  • Peru Earthquake Mw6.3 30 Jan 2012 - Updated 1 February. On Monday, 30 January a magnitude Mw6.3 (regional moment ...
For more catastrophe reports, data and news, click through to the RMS/Reactions Catastrophe Centre.

Poll

Catastrophe bond issuance was $4.3bn in 2011. How much new issuance will there be in 2012?

Less than $3bn
0%
$3bn-$4bn
44%
$4bn-$5bn
22%
$5bn-$6bn
11%
$6bn-$7bn
22%
More than $7bn
0%