If you are a new operator in the oil industry, you will need to secure general liability insurance for your new venture. Here is a guide to the steps you need to take to get general liability oil field insurance in NM.
When first applying for insurance, you will be asked to complete a general company and management application. The application will ask questions about your company such as its start date, federal tax id number, and resumes or biographical information of the company’s management team. The insurer will place a high level of importance on the knowledge and experience of the management team, so it is important to include as much information about them as possible.
A well schedule is basically a spreadsheet that includes current and projected work going on with oil well operations, and details production levels on an ongoing basis. It also records wells that have been drilled but are no longer producing. This gives both the company and the insurer a snapshot of company operations at any given time.
Master Service Agreement
The master service agreement is drawn up by the company and the insurer. It is used to show proof of insurance to contractors that will be operating at the company site. It also shows contractors and sub-contractors the insurance requirements to work on the company site.