Travelers Broadens Coverage and Raises Limits for Oil and Gas Risks

January 17, 2012

Travelers Oil & Gas has enhanced its EnergyPro Control of Well Care, Custody and Control coverage by increasing limits and broadening coverage.

More contracts for specialized oil and gas field services, such as well-fracturing services, are incorporating special event or catastrophe clauses that make operators responsible for damage to the service provider’s equipment at the lease site. The new amendment was designed to enhance coverage for this type of liability.

“This is an important change, particularly in today’s environment where an operator may be assuming responsibility for non-owned equipment with total values in excess of $5 million while it is concentrated at a lease site,” said Richard G. Gustafson, president of Travelers Oil & Gas.

In addition to the new broadened coverage, Travelers Oil & Gas is raising limits to $30 million instead of the typical industry limits, which range from $1 million to $5 million.

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