The growing global awareness of environmental issues has ensured that all things environmental have been pushed to the top of the boardroom agenda.

Safeguarding the environment is a governance obligation and makes complete sense from a business perspective. Effective environmental risk management can help organisations avoid costly environmental liabilities and protect their financial interests.

It can also demonstrate to stakeholders and customers their commitment to the environment, with reputational benefits in the societies in which they operate.

The alternative to effective environmental risk management is often unthinkable.

Companies that are either unprepared for environmental incidents or do not understand their environmental risks are more likely to be lumbered with a costly liability and associated bad publicity. Delays in responding to environmental liabilities can lead to spiralling costs.

Marsh’s Environmental Practice has a wealth of experience in dealing with the key environmental risks faced by clients.

We can help identify the risks and design insurance-based risk transfer and risk finance solutions which help manage known and potential environmental liabilities.

These can be tailored to respond to liabilities associated with day-to-day operational risks and/or historical risks associated with merger and acquisition activities, whether on a direct, contingent or residual basis.

An effective environmental insurance programme helps our clients to manage environmental risks, comply with expanding environmental legislation, and respond to mounting public concern about environmental issues.

We are experts in dealing with the specialist environmental impairment liability insurance market. Our market-leading presence ensures that our clients obtain the most effective terms available from insurers.

Some of our services include the following:

Risk evaluation

• environmental risk assessment
• due diligence
• liability portfolio assessment
• assessment of liabilities associated with PFI/PPP contracts
• financial feasibility surveys
• identification of risks associated with mergers, acquisitions and other transactional deals
• assess availability and adequacy of material information
• outline plausible programme/product design.

Client management

• clarify commercial objectives
• agree project management parameters
• facilitate underwriting process
• claims management
• evaluation and improvement of existing insurance cover
• policy maintenance and mid-term servicing
• environmental liability portfolio management
• evaluation of potential risk transfer options.

Placement

• prepare formal market presentations
• negotiate final policy wording
• evaluate insurer responses
• formal placement of policy.

Our team has a unique mix of environmental, financial, risk management, insurance and risk financing expertise, enabling us to see risks from a total perspective and to put forward the most appropriate management solution.