7. Understanding Master Service Agreements, Ron Van Horn, The Schauer Group

Schauer Group, Inc

Risk Management & Insurance

Presenters 

Joseph D. Schauer, CPCU, ARM Practice Leader Risk Management



Ron Van Horn, CPCU Practice Leader Oil & Gas

Schauer Gr oup, I nc.  Commercial Insurance  Employee Benefits  Risk Management  Enterprise Risk Management  Executive Personal Insurance

Schauer Gr oup, I nc.

Schauer Domestic Business

International Placements               

Argentina Australia Brazil Canada China Czech Republic France Germany Hong Kong Hungary India Indonesia Italy Japan Luxembourg

              

Mexico Netherlands Poland Romania Russia Singapore South Africa South Korea Spain Taiwan Thailand Turkey United Kingdom Venezuela Vietnam

Schauer Overview Top 4% Insurance Agencies Nationally  Best Practices 

Industry Best Practices

The Nation’s First ISO Registered Independent Insurance Agency

 Certified

since 1998  Customer focused quality objectives  Continuous improvement of internal processes  Focus on training and education of our staff

Insurance Company Partners

Oil & Gas Division 

Division Overview 

Industry Served       

Lease Operators Non-Operators Drilling Contractors Suppliers Haulers Environmental/Waste Removal Service Contractors

Specialty Insurance Companies  Risk Management  Service Platform 

    

Exposure Analysis Indemnity Clause Compliance Certificate Tracking & Management Claims Management Risk Control

Presentation Overview 

Master Service Agreements   

Insurance Coverage Requirements Limits of Insurance Insurance Policy Endorsements

Other Specialty Insurance  How to Purchase Insurance 

Master Service Agreements  

Function and Purpose Areas of Focus  Terms

and Conditions  Indemnity Clause  Insurance Clause

Insurance Coverage Requirements 

General Liability Insurance 

Coverage/Legal liability for: 3rd Party Property Damage  3rd Party Bodily Injury 

 Required

Limits of Insurance

$1m per occurrence  $2m annual aggregate 

Insurance Coverage Requirements 

Automobile Liability Insurance 

Coverage/Legal liability for: 3rd Party Property Damage  3rd Party Bodily Injury 

 Required 

Limits of Insurance

$1m per accident

Insurance Coverage Requirements 

Workers Compensation 

Statutory coverage 



Ohio employers  



Provide Protection for Employee Injury Directly from the State Fund Qualified Self-Insured

Employers Liability 

Coverage Intent 



Provide Protection for Allegations of Employer Gross Negligence

Required Limits of Insurance   

$1m Disease $1m Accident $1m Disease Aggregate

Insurance Coverage Requirements 

Umbrella or Excess Liability Insurance

 Required Limits: Varies

Insurance Policy Endorsements 

Additional Insured Language Primary  Non-Contributory  Completed Operations 



Waiver of Subrogation

Specialty Insurance Requirements 

Environmental/Pollution Liability    

Contractors Pollution Liability Coverage Site Pollution Liability Coverage Transportation Coverage Nonowned Disposal Sites

Specialty Insurance 

Professional Liability Coverage  Not

bodily injury or property damage insurance  Errors & Omissions Architects  Engineers  Surveyors  Attorneys  Accountants 

Specialty Insurance 

Executive Liability/Wrongful acts coverage  Directors’

& Officers’  Employee benefit plan fiduciaries  Employment related practices

How To Buy Insurance 

Find a Qualified Agent    

Industry Expertise Education Service Capabilities Insurance Market Access

Identify Risk Exposures  Conduct an Analysis of Current Program 

Questions