Canadian oil and gas firms will have to apply a combination of three strategies to cover their risk going forward, NFP Canada senior vice president for NFP’s Complex Risk Solutions group told Canadian Underwriter: convincing, creating capacity and self-insuring.
Convincing centres around the industry sharing its sustainability story, Pardo told the publication, while capacity creation revolves around returning to the foundations of insurance.
Self-insurance, Prado said, uses captives so companies can effectively self-insure.
“We’ve been encouraging investment in reinsurance capacity. A lot of that just means that you’re fundamentally self-insuring the risk,” Pardo said.
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