Aon  |  Energy
Contractors

After a rapid fall in oil prices within four years of the last significant oil price decline, and weak recovery, operators have reduced capital expenditure and narrowed their focus to the development of long-term, higher-margin production assets and maintaining strategic supply through proven reserves. This has resulted in many exploration campaigns and project developments being suspended or cancelled as they are no longer considered economically viable. The oilfield service and drilling contractor sector continues to be challenged by an imbalance of supply and demand.

By working with specialist risk advisors and brokers, contractors can identify existing and emerging risks, and develop a strategy to mitigate risk and maximize financial returns to pursue commercial opportunities with greater confidence through often volatile business cycles.

 

At Aon, we deliver:

We provide transactional and advisory solutions to our clients' business and risk-related needs (Click the hexagons for more information)

  • Risk Modelling & Consulting

  • Insurance & Risk Solutions

  • Claims Advocacy

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  • Benchmarking

  • Transaction Services

  • Human Capital

Risk Modelling & Consulting

Aon’s risk consulting and actuarial teams have developed a three-step process to enable energy firms to make informed decisions about risk management. First, analysis is undertaken to identify the firm’s tolerance to financial shock. These insights are then considered against strategic objectives to determine a qualified risk appetite. Risk appetite is then modelled against loss and premium data to determine the risk profile. These data-driven insights enable us to design an insurance programme which optimises risk retention relative to commercial risk transfer options and alternative risk solutions; for example, self-insurance, captive solutions and/or mutualisation.

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