Detailed review and analysis of offshore contracts, providing expert feedback and guidance to our members/clients
The Contract review service as offered by Skuld is an essential element in assisting to identify contractual pitfalls and subsequently seeking to protect your contractual position. The primary focus of the review is to guard against unbalanced contractual liability exposures and, to help avoid unclear definitions of responsibility and liability.
The Skuld Offshore contracts team works together with our members and clients, as well as their brokers to achieve the best possible contractual position and to ensure that our members and clients have sufficient protection to cover the risks assumed under the contract.
Having a P&I specialist provide feedback on a contract and insurance cover can prevent the most common pitfalls, such as:
- An imbalance of the risk/reward relationship
- Agreeing to exposures beyond the insurance cover in place
- Agreeing to perform operations outside the scope of cover afforded
- Accepting risks and deductibles being passed down the chain
All perspectives covered
Skuld Offshore has a team of specialists operating from Skuld offices around the globe. Our global experience allows us to comment on operational and legal issues unique to areas and types of operation. Our contracts team has knowledge and experience of contracts from the perspective of companies at all stages of the contractual chain, and reviews hundreds of contracts each year. The reviews are prepared in tandem with underwriters to ensure a complete overview is undertaken of the project from an insurance perspective.
The contracts team review and assess the risks contained within our members’ and clients’ contracts and provide guidance as to how their contracts can be amended so as to improve their contractual position. The team will also consider what cover our members and clients already have in place and the review comments will reflect this.
To make the contract review feedback actionable, we split the feedback into five categories:
- Cover information (where a member/client has insurance with Skuld)
- P&I Insurance requirements as per the contract
- Summary of key contract information
- Checklist indicating whether the key risk areas are poolable / non poolable (for P&I cover) or acceptable / not acceptable (MOU cover)
- Contract comments
The purpose of these categories is to ensure that our members and clients can readily see their existing cover breakdown, compared with the cover required under the contract and what (if any) amendments can or should be made to the contract in order to improve our member’s and client’s position and where relevant bring it in line with their existing cover.