In a sector as demanding as oil and gas, prevention is not enough: you need coverage that supports you legally, operationally, and financially in any scenario.
Sectors / Energy /
Oil and Gas
The oil and gas energy sector in Mexico demands insurance and surety solutions designed for high-risk operations and large investments.
From exploration to distribution, companies face operational, environmental, financial, and regulatory threats.
MAIN RISKS:
Oil and gas operations are exposed to risks that can seriously impact the finances, reputation, and viability of the business:
- Operational risks: explosions, fires, spills, equipment failures, and accidents during drilling, transportation, or refining.
- Environmental risks: contamination of soil, water, and air with legal liabilities and remediation costs.
- Security risks: vandalism, sabotage, equipment theft, and illegal taps.
- Financial risks: loss of income due to interruptions in operations.
- Regulatory risks: sanctions for non-compliance with regulations of ASEA, CNE, and other authorities.
How are environmental risks covered in platforms, pipelines, or refineries?
They are covered through environmental civil liability insurance, which indemnifies and covers expenses arising from an accidental pollution event, whether sudden or gradual, occurring during operations.
- Containment and control of the incident.
- Cleanup and remediation of soil, bodies of water, or atmosphere.
- Repair of environmental damage.
- Compensation to third parties for personal or materialdamagescaused by pollution.
- Legal defense and judicial expenses.
It applies to both onshore and offshore installations and is designed to comply with the requirements of ASEA and other regulators.
What insurance applies when companies are subcontracted for drilling or maintenance?
Subcontracting in activities such as drilling, maintenance, offshore services, or specialized transport generates cross risks and shared liabilities.
- Cross Liability: Protects all parties involved in case one affects another.
- Machinery and Equipment Insurance: For specialized tools, pumps, mobile units, cranes, etc.
- Land or MaritimeTransport of Equipment.
Does property damage coverage also include loss of income (business interruption)?
Yes, provided the corresponding coverage is purchased. Property Damage insurance covers physical assets, but loss of income is covered through the Business Interruption (BI) policy.
- Business Interruption (BI):Compensateslost income, fixed costs, and lost profits during the suspension of operations after a covered loss (fire, explosion, collapse, etc.).
- Contingent Business Interruption (Contingent BI): Covers losses when the loss occurs in properties of suppliers or strategic partners.
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