Insurance is not a cost; it is protection for the balance sheet
ECONOMY & POLICY

Insurance is not a cost; it is protection for the balance sheet

As infrastructure projects grow larger and more complex, their risk profiles are evolving beyond physical damage. Underinsurance, business interruption, supply-chain disruptions, climate volatility, surety and transactional exposures can all have significant financial consequences. Mohan Agrawal, Director and Business Lead - Construction, Infra & Warehousing, EDME Insurance Brokers, discusses these emerging risks and the gaps in conventional insurance practices in a conversation with KAVITA PARAB, CW. He explains why infrastructure players need to view insurance not merely as a cost, but as a strategic tool for protecting balance sheets and ensuring business continuity.

It is often said that risk is unavoidable in infrastructure. In your experience, what is the single biggest indicator that a project developer is not financially prepared for a major setback?

The biggest indicator is inadequate insurance coverage, particularly gaps in the scope of the policy or insufficient coverage for a major loss. An insurance programme should be designed to protect against a major loss, not just routine losses...

To read the full story Click Here

As infrastructure projects grow larger and more complex, their risk profiles are evolving beyond physical damage. Underinsurance, business interruption, supply-chain disruptions, climate volatility, surety and transactional exposures can all have significant financial consequences. Mohan Agrawal, Director and Business Lead - Construction, Infra & Warehousing, EDME Insurance Brokers, discusses these emerging risks and the gaps in conventional insurance practices in a conversation with KAVITA PARAB, CW. He explains why infrastructure players need to view insurance not merely as a cost, but as a strategic tool for protecting balance sheets and ensuring business continuity.It is often said that risk is unavoidable in infrastructure. In your experience, what is the single biggest indicator that a project developer is not financially prepared for a major setback?The biggest indicator is inadequate insurance coverage, particularly gaps in the scope of the policy or insufficient coverage for a major loss. An insurance programme should be designed to protect against a major loss, not just routine losses...To read the full story Click Here

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