A.M. BestTV: Insurers Try to Keep up as Fracking Boom Sweeps US

OLDWICK, N.J.--()--In this episode of A.M. BestTV, insurance company executives say the U.S. fracking-led energy wave is poorly understood by the insurance and reinsurance industry, but add that drillers must use best practices to in turn build the confidence of insurers. Brian McCarthy, president and CEO of Energi, called hydraulic fracturing the “next industrial revolution,” but added that there are misconceptions about the exposures. Air and water pollution naturally remain concerns, and McCarthy said claims have arisen in situations where best practices were not followed. But he said that like in any industry, "bad actors" can muddy the water, and overall, it's been a profitable business. Jeremy Goodwin, executive managing director at Aon Benfield, said that the fracking industry has suffered from negative media exposure, but has gotten better at creating a safer environment to avoid potential environment exposures. Goodman expects the insurance industry in time to find success in meeting the long-term needs of oil and gas companies. Click on www.ambest.com/v.asp?v=fracking1213 to view the video program.

People who appear in this episode include:

  • Brian McCarthy, President & CEO, Energi;
  • Jeremy Goodman, Executive Managing Director, Aon Benfield; and
  • Kate Smith, Senior Associate Editor, A.M. Best Co.

A.M. Best covers exclusive A.M. Best Co. information and reports, targeted topics and key developments in the (re)insurance industry every Monday, Wednesday and Friday. Sign up for alerts of episodes at http://www.ambest.com/multimedia/ambtvsignup.html. View A.M. BestTV episodes at www.ambest.tv.

A.M. Best Company is the world’s oldest and most authoritative insurance rating and information source. For more information, visit www.ambest.com.

Copyright © 2013 by A.M. Best Company, Inc. ALL RIGHTS RESERVED.

Contacts

A.M. Best Co.
Jim Peavy, 908-439-2200, ext. 5644
Assistant Vice President, Public Relations
james.peavy@ambest.com
or
Rachelle Morrow, 908-439-2200, ext. 5378
Senior Manager, Public Relations
rachelle.morrow@ambest.com

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Contacts

A.M. Best Co.
Jim Peavy, 908-439-2200, ext. 5644
Assistant Vice President, Public Relations
james.peavy@ambest.com
or
Rachelle Morrow, 908-439-2200, ext. 5378
Senior Manager, Public Relations
rachelle.morrow@ambest.com