Dubai – MENA Herald: Marsh, a global leader in insurance broking and risk management, will launch “Marsh BLAST powered by MaxLossTM” (Marsh BLAST), a cutting edge tool to model the financial impact of explosions in the energy sector, at its biennial National Oil Companies (NOC) Conference in Dubai on 22-24 March 2016.
Developed with leading engineering consultants Baker Engineering and Risk Consultants Inc. (BakerRisk), Marsh BLAST is powered by BakerRisk’s MaxLossTM technology, and for the first time in the insurance industry, employs the advanced Baker-Strehlow-Tang (BST) explosion model. Energy companies will use Marsh BLAST to calculate the maximum property damage loss across their global assets, as they undertake insurance risk assessment surveys.
Nine out of the ten largest property damage losses incurred in the global hydrocarbon extraction, transport and processing industry since 1974 were attributed to explosions. Marsh estimates that these losses are in excess of $8.5 billion, based on estimates of current property values. By having access to the level of data and analytics that Marsh BLAST provides, energy companies can develop more effective risk financing and capital management strategies.
Andrew George, chairman of Marsh’s Global Energy & Power Practice, said: “When explosions occur, their impact can be catastrophic in terms of business interruption and financial loss. Marsh BLAST is designed to help our clients quickly calculate their estimated maximum loss values, which is vital information when determining the value of the risk they want to insure versus the risk they are prepared to retain. This can help avoid potentially higher premiums that are associated with previously unquantifiable risks and provide much-needed analytics to help with balance sheet management.”