Explosion — LNG Export Facility
When one of the world's leading LNG exporters suffered a major explosion that forced a full shutdown of its export facility, it turned to RT Forensic Accountants to help manage its complex insurance claim.
The claim became a landmark recovery effort in the energy industry, spanning physical damage, business interruption, customer impacts, deferred revenue and vessel schedule changes, and was resolved with a settlement of more than $1 billion.
- Industry
- LNG export and energy
- Peril
- Explosion and full facility shutdown
- Coverage
- Property damage and business interruption
- Result
- A $1B+ settlement within four months of the resumption of operations
The Loss
The explosion forced an immediate and total shutdown of a massive LNG export facility, leading to hundreds of millions of dollars in physical damage, extensive restoration activities and severe impacts to domestic and global energy markets.
The Process
The claim required coordination across risk management, operations, finance, legal, brokers, insurers and external consultants. RTFA brought its tailored Managed Claims Process to quantify and present the financial impact, streamline interim payments and bring the claim to resolution.
The Results
- 30 daysAccurate initial claim estimates
- 60 daysInterim payment secured
- 90 daysComprehensive claim model complete
- $1B+Settlement within four months of the resumption of operations