Willis

We combine our knowledge of the industry with a thorough understanding of your organization to create a complete risk management strategy, from conception to marketing to implementation and ongoing management. This strategy joins a tailored approach to the standard risk management coverages (Property, Casualty, etc.) to the specialty needs of utilities. Some of these include:

• Corporate Governance. Personal accountability to a wide range of stakeholders for a perceived or actual misstep in any of the areas below is higher than ever before
• Environmental Exposures. Old sites, waste depositories, emissions controls. We can assist with the following areas:
  • Financial insurance mechanism structuring for the NRC, EPA and state requirements for nuclear and decommissioning for closure/post-closure liabilities
  • Transportation and disposal site coverage for waste
  • Cost overrun for environmental remediation and nuclear decommissioning
• Weather Exposures. These can lead to uneven revenue streams - cool summers mean low power sales; warm winters, low gas sales; droughts can impact hydro facilities
• Spot Market Exposures. Replacement power, gas supply prices, spark spread issues - reliable energy in the face of full or partial outage exposures
• Regulatory Concerns. FERC, PUC, rate base recovery and rate freeze issues - just keeping track of all them is complicated enough
• Terrorism. Transmission companies as well as hydroelectric and nuclear facilities are potentially major targets
• Technology Issues. Restricted markets for prototype equipment and design exposures
• Builder's Risk. Technology issues, civil exposures, advance loss-of-profits, wrap-ups; in foreign countries there can be Kidnap & Ransom and Political Risk exposures as well
• Power Sales Exposures. Purchase power contracts, gas take-or-pay contracts, capacity payments merchant power sales