b'3.1 Combining project cargo risksItsbestfordifferentcoveragestobein-cluded in a single policyThe expanding demand for infrastructure enhance-ments in developing countries and elsewhere around Peter Buxbaum, AJOTthe globe has allowed project cargo volumes to growThis article was originally published onin recent years. Power stations, water filtration plants,January 28, 2019 in issue #681communicationssystems,powergrids,andcon-struction equipment are some of the projects being shipped, while an increasing reliance on alternative energy sources has allowed wind and solar energy installations to emerge as major components of the global project cargo picture. Chinas Belt and Road initiative also represents opportunities for the transfer of large-scale projects.Project cargoes represent greater inherent risks of loss than others, raising the question as to how to best insure against them. Project cargos complexity and risk mean that insurers are careful to demand hefty premiums. Project cargo insurance traditionally has not been cheap, but combining risks in a single PROJECT / ENERGY SHIPPING policy could provide some relief. One insurer has re-sponded with an offering that provides comprehen-sive coverage for both marine and engineering risks. Companiesonallcontinentsareincreasingly seekingconvenientandcomprehensiveinsurance for large-scale projects, said Christopher van Gend, global head of engineering at Allianz Global Corpo-rate & Specialty (AGCS), Allianz Groups specialist corporate insurer. AGCS possesses both the techni-cal underwriting and engineering talent for infrastruc-ture projects and industrial operations to better meet[image 3.1-1] previous pageclient schedules and deadlines. AGCS introduced aMammoets expertise helped to carry out collaboration between its marine insurance and en- a record load on Albertas roads.gineering divisions last year to provide a policy that (Photo Courtesy of Inter Pipeline)includes end-to-end coverage for project cargoes.Projectcargopolicycoveragesusuallyincludes physical loss and damage and may also include con-sequential loss, such as delay in start-up (DSU) costs. DSU coverage provides indemnity for loss of antici-pated profits, costs to avoid or mitigate a delay, debt servicing costs, and/or the increased cost of working. 2019 Collection Project / Energy Shipping 39'