Teekay’s risk managers have to track over a hundred ships around the world. The Joint War Committee defines standard war zones but many risk managers agree insurance terms for their own defined zones, ports and terminals.
Teekay operates its vessels on a charter basis. The insurance cost based on the charterer usage can be charged back to the charterer. However, a ship owner must get its advice (invoice) for the insurance out to the charterer within a defined time period.
Before adopting Insurwave, the ship’s captain would email Teekay’s risk management team, who would email the insurance broker, who would then be updated about the beginning, middle and end of each voyage for every ship. The insurance broker may have had to calculate premiums manually, interpret emails about vessel location and refer to the slip for valuation and calculation terms.
The insurance broker may also have had to endorse a policy via email or phone, or even in person, while trying to produce the invoice within the specified time period. Then they would have to go back to the insurers to receive authorisation.
All this was costly, slow and led to inaccurate reporting: you don’t really have the data you need to know your live exposures, and most importantly, to know that you’re covered when things go wrong.