Introduction:
In every organization, meticulous attention is directed towards managing risks through various methods: preventable ones are eliminated, and the residual risks are reduced and strategically managed. This contractual risk, insurance, and indemnities conference is partly achieved by crafting robust contracts that distribute risk fairly and embed a framework of indemnities with contractors bolstered by an all-encompassing insurance structure.
The contractual risk, insurance, and indemnities conference is vital for contract personnel to grasp the essence of contractual risks and comprehend the extent to which insurance can alleviate the financial impact of such risks, bearing in mind that insurance serves to lessen the effect of risk rather than eliminate the inherent risk itself.
Understanding Contractual Indemnity and Insurance:
As a critical component of contractual agreements, contractual indemnity plays a significant role in delineating the liability and responsibilities of the parties involved. These provisions are often backed by contractual indemnity insurance, ensuring that indemnified losses are financially covered.
This contractual risk, insurance, and indemnities conference will explore the full spectrum of these concepts, including contractual indemnity and how it integrates with various contractual insurance solutions.
Targeted Groups:
- Contracts, Tendering, Purchasing, Procurement, and Project Professionals.
- Contract Administration, Engineering, Operational, and Maintenance Professionals.
- Risk, Claims, Financial, and Audit Professionals.
- Project Management Professionals.
- All others involved in the intricate process of planning, evaluation, preparation, and management of bids, specifications, contracts, and procurement, including those acquiring materials, equipment, and services and who are part of organizations prioritizing high competence levels in these activities.
Conference Objectives:
At this contractual risk, insurance, and indemnities conference, participants will have the ability to:
- Provide an understanding of contract structures and how and why contracts are drafted in particular ways.
- Enhance Knowledge of the legal principles behind contracts.
- Provide an understanding of some of the main clauses in different types of agreements.
- Explain the commercial impact of particular provisions.
- Explore the usual models for indemnity regimes in international contracts.
- Enable participants to understand the significance and limitations of such regimes.
- Help participants understand the meaning of insurance arrangements and the terminology used
- Ensure participants appreciate the effect of insurance and its limitations in managing risk.
- Explain how to use contract provisions to reduce the risk of disputes.
- Understand where disputes do arise, show how the contract can be used to minimize these disputes, and some of the methods by which disputes are resolved in international contracting (including non-traditional approaches, such as mediation)
- Link indemnity and insurance arrangements
- Recognized types of insurance are available in a contracting context.
- Maximize the latest thinking in dispute resolution techniques.
Targeted Competencies:
By the end of this contractual risk, insurance, and indemnities conference, the target competencies will be able to:
- Critical of the risk mitigation process.
- Understand Knowledge to move contracts from the tactical to a more critical strategic focus.
- Learn about the ability to identify risks that can arise.
- Learn about skills in allocating contract and procurement risk.
- Know about the examples of contract terms and conditions which allocate risk.
- Insurance and Indemnities.
Conference Content:
Unit 1: Commercial Risk and Mitigation through the Contract:
- The need for contracts.
- Identify risk.
- Risk mitigation or impact mitigation?
- Title.
- Incoterms.
- Intellectual property.
- Types and nature of contracts.
- Understand the definition of terminology, i.e., Conditions of contract and terms of the agreement.
- Understand different legal systems and how to look for standard practices but understand the differences.
Unit 2: How and Why Contracts are Drafted:
- Why do we use contracts?
- Formation of a Contract.
- Oral or written?
- Learn the critical elements of a contract.
- Know about the terms and conditions of the contract.
- Know about liquidated damages/penalties.
- Limits of liability.
- Suspension and termination.
- Acceptance and certificates.
- Guarantee/warranty/maintenance.
- Agency issues.
- Know the basic structure of a contract.
- Incorporate documents by reference.
- Standard Forms.
- Incorporate tender documents.
- Letters of intent or award.
- Letters of comfort or awareness.
- Side letters.
- Bank bonds and guarantees.
- Parent company guarantees.
Unit 3: Insurance:
- The purpose of insurance.
- What insurance covers and what it does not.
- Overview of cover limits.
- Duty to disclose information.
- Meaning of “All Risks”.
- Relationship with risk management.
- Learn about types of insurance used in contract clauses.
- Understand workmen’s compensation/employers’ liability.
- Third-party/liability insurance.
- Property damage.
- Know about professional indemnity/errors and omissions.
- Construction all risks.
- Motor and aviation.
- Marine insurance.
- Hull and machinery.
- Learn about protection and indemnity (“P&I clubs”).
- Pollution.
- Goods in transit.
- Business interruption.
- Unfair calling cover (bonds and guarantees).
- Export credit insurance.
- Who arranges?
- For whose benefit?
- Understand extension to subcontractors (national oilwell case).
- Terms of involving contractors.
- Other relevant insurances.
- Insurance for projects.
Unit 4: Indemnities:
- Know the meaning of indemnities.
- Make indemnities work - irrespective of negligence or breach of duty (the Piper Alpha litigation).
- Link with insurance.
- Cross indemnities.
- Personnel.
- Property.
- Catastrophe risks.
- Value of covenant.
- Learn about the issues with indemnities under the civil law system.
- Third parties.
- Understand liability in negligence and relationship with contract conditions.
- Claims handling.
- Manage claims under project policies.
- Make timely claims.
- Information.
- Involve insurers.
- Resolve disputes.
- Self-insurance.
Unit 5: Resolving Disputes:
- Negotiation.
- Stage dispute resolution clauses.
- Litigation.
- Arbitration.
- Enforcement of Judgments and Awards.
- Know about the new best practices in dispute resolution.
- Mediation.
- Conciliation.
- Early neutral evaluation.
- Expert determination.
- Pendulum arbitration.
By integrating these elements, the contractual risk, insurance, and indemnities conference becomes an insurance seminar or risk workshop and a comprehensive experience that addresses the contractual risk definition of risk transfer insurance and ultimately defines an insured contract. Attendees will emerge with a profound understanding of contractual risk in project management and be equipped with the latest frameworks for managing these risks effectively.
