Course Details
hours
0.0
price
$99.00
This course is not subject to discount pricing.
  • Course:
  • Internet
  • Exam:
  • Internet

Additional Credit Available:

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Contractual Risk Transfer in Energy

Core Courses

Note: Interactive exercises within this course are best viewed on a desktop computer.

Course Description
A variety of contract documents describe the agreements between the parties involved in an energy exploration and production project. These written contracts impose many duties, obligations, and liabilities on various parties. Although careful attention may be paid to the operational issues these contracts address, often little or no attention is given to their risk and insurance implications. It is not unusual for contracts to shift to an indemnitor liabilities that are extremely difficult or costly for the indemnitor to insure, or even uninsurable. This course examines the structure of contracting relationships in oil and gas exploration and production and the key provisions in which responsibilities and liabilities are allocated to the contracting parties It suggests methods to equitably allocate these liabilities, and examines processes for managing the contractual risk transfer process. It also points out problems that may arise if contracts are not properly reviewed and their risks managed. 

Learning Objectives
This is an intermediate-level self-study course. Students who successfully complete this course will be able to

  • identify suitable recommendations and strategies for fairly and legally allocating energy contract risks; 
  • identify problematic risk provisions in standard energy industry contracts and negotiate new language to avoid the potential problems
  • identify problematic energy contract provisions, and propose appropriate recommendations in the draft or negotiation of contract insurance requirements; 
  • identify gaps between a contractor’s or operator's contractually assumed liabilities and its contractual liability insurance coverage, and assist in obtaining compliance with additional insured coverage requirements; and
  • recognize appropriate procedures and processes for obtaining and maintaining verification of compliance with contract insurance requirements.

Prerequisites 

A basic understanding of the contractual risk transfer.

CPE Field of Study
Management Services

WebCE® is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: www.nasbaregistry.org.

By IRMI
International Risk Management Institute, Inc. (IRMI) is the premier provider of risk and insurance continuing education and reference services. IRMI publications are considered the ultimate authority by leading insurance practitioners and even federal appellate courts when interpreting insurance coverage. Use the knowledge you gain from IRMI CE courses with confidence, knowing they are written by seasoned insurance professionals who employ diligent quality assurance standards to provide the most up-to-date, practical, and reliable information possible.