What's in an Oil and Gas Insurance Package?
The oil and gas business is unique and challenging, and not without risks.
If you have an oil and gas-related business in Edmonton, you need an oil and gas insurance package that is tailored to your operations.
Ask your Western business insurance expert about what type of oil and gas insurance package you need for your oil and gas business in Edmonton.
We’ve got the expertise and knowledge to get you the right oil and gas insurance package that fits your business, whether you operate:
- Energy and utilities companies
- Pipeline operations and construction
- Natural gas storage operations
- Gas processing plant
- LPG and LNG facilities
- Refining and processing centres
- Field services
- Fuel oil dealers, gasoline stations
- Well Services
At Western, we’ve also got you covered if you are an oilfield consultant, oilfield technician, pipefitter, welder, oil driller, wellsite geologist, service contractor, among others.
We’ve got the expertise and knowledge to get your Edmonton oil and gas business the right insurance package to help control, prevent and reduce risks.
What is oil and gas insurance?
Oil and gas insurance helps protect you from potential risks related to the job you do in the industry.
Common claims in the oil and gas industry are usually employee injuries, property damage and oil/gas spills and leaks.
You need specialized insurance coverages to protect your oil and gas business or operations.
What’s included in an oil and gas insurance package?
1. Commercial General Liability (CGL) Insurance: This type of coverage helps protect your oil and gas business against claims made by a third-party about property damage, injury, and related expenses. In the oil and gas industry, this needs to be more comprehensive than for other industries because of the high risk. It can also be called Wellhead Insurance.
Talk to your Western business insurance expert about how much CGL insurance you need to protect your Edmonton oil and gas business.
2. Commercial Property Insurance: Oil and gas companies often use both owned and leased property that can be worth many thousands of dollars. It’s important that all of it is fully insured. Commercial property insurance covers your company's tools, equipment, furniture, computers, and other supplies that are used in your day-to-day operations. It is first-party coverage that helps pay for repairs or replacement of your property if it is destroyed or damaged by fire, weather, vandalism, or theft, among other things.
3. Errors and Omissions Insurance: This type of insurance is also called Professional Liability Insurance. It covers liability claims resulting from professional services or advice. It is considered essential for any oil and gas company or consultant that offers services and advice to other companies.
4. Equipment Breakdown insurance: It covers repair or replacement of equipment that has a sudden or accidental breakdown due to an insured peril. It also includes business interruption insurance, which covers expenses and lost income while broken equipment is repaired or replaced.
Talk to your Western business insurance expert to make sure all your equipment and machinery is covered.
5. Pollution insurance: Your Edmonton oil and gas business faces environmental and pollution from its operations. General liability likely won’t be enough if your oil and gas business is facing a pollution claim. Pollution liability insurance covers the cost of sudden or gradual damages causing environmental harm and third-party bodily injury or property damage because of your operations.
6. Business Interruption Insurance: Business interruption insurance is an additional property insurance coverage that covers loss of income if your oil and gas business suffers a disaster, and your premises or facility need to be temporarily closed. This type of coverage can mean the difference between reopening your operation and going out of business.
7. Commercial Auto Insurance: If you have a business car, truck, or van that you use for your oil and gas business, it needs commercial coverage as part of your oil and gas insurance package. Your personal car or truck insurance usually won’t cover your startup business. If you have five or more vehicles in your name for your oil and gas business, you need fleet insurance.
8. Commercial Crime Insurance: Commercial Crime Insurance helps protect your oil and gas business from losses due to crime-related issues such as petty theft, fraud, and burglary committed by both your employees and outside entities.
Speak to your Western business insurance expert about any specialized coverages that you need for your oil and gas business.
How much will my oil and gas insurance package cost?
Not all oil and gas businesses are the same in terms of size and operations. That means insurance premiums and coverages will likely vary, depending on the work your oil and gas business does.
Factors when calculating your premium can include:
- The products and services you provide
- Size of business and its location
- Number of employees
- Training and experience
- Annual and projected revenue
- Claims history
- The coverage limits you need
Your Western insurance expert will go over in detail what coverages your oil and gas business needs.
Western Insurance has licensed BUSINESS INSURANCE EXPERTS to get your Edmonton oil and gas business the right insurance package. Our experts are available now to help you navigate the business insurance journey to protect your oil and gas business.
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