While the ongoing BP Deepwater Horizon disaster in the Gulf of Mexico initially was seen as having little effect on the London market because BP is self-insured, in the long term the impact could be positive as offshore oil operations in particular face tighter regulations and potential coverage vulnerabilities are more readily apparent, according to experts across the pond.
“I think it's a wakeup call,” said Paul Jack, executive chair of Lockton International's risk solutions division, as well as chair of Lockton Re in London.
At the end of the day, he observed, the oil spill aftermath is “not going to be a big loss for the market. The effects thus far are quite limited and the main reason is because BP does not buy that much insurance and they don't appear to buy that much reinsurance for their captive.”
Recommended For You
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
- Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
Already have an account? Sign In Now
© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
