In order to meet the specific insurance requirements of oil rig drilling contractors operating in Iraq, Marsh and Anglo Arab Insurance Brokers (AAIB), Iraq Insurance today announced the launch of a new Iraq Land Rig Facility. The facility provides cover for physical loss of or physical damage to drilling rigs and associated equipment, machinery breakdown and third party liability risks, from the moment they touch Iraqi soil, whether in transit, storage or operation.
The Iraq Land Rig Facility caters for all drilling contractors and the low retentions available make it particularly attractive to companies that do not wish to retain a high level of risk on their balance sheets. Entirely flexible, the facility can be tailored to meet the specifications of one-shot well exploratory drillers, through to larger contractors conducting significant drilling operations across Iraq.
Simon Boxall, Managing Director in Marsh's Global Energy Practice, commented:
"Rig insurance is essential for drilling contractors but the costs can often be prohibitive, especially for smaller firms seeking to branch out into emerging territories. Drilling contractors need local risk and insurance expertise to take full advantage of the opportunities that exist in Iraq. This facility enables all contractors, from small independents through to global firms, to pioneer the development of Iraq's oil economy."
In addition to insurance cover, the Iraq Land Rig Facility provides claims support through access to leading loss adjusters; and clients will be able to access advice on local regulatory requirements from Marsh and AAIB.
William Wakeham, founder and CEO of AAIB, said:
"Marsh and AAIB are delighted to offer this innovative insurance product in Iraq. Product development and unique service offerings have always been at the centre of AAIB's operation in Iraq. Through our network of offices in Iraq, we are also well-positioned to keep abreast of ever-changing legal and regulatory structures to ensure that clients minimise their risk exposure, especially on matters of compliance, which are particularly pertinent to drilling companies working under contract."