Energy Company Avoids $15M Exposure with Insurance Verification
A major energy company discovered critical insurance gaps across their contractor base that could have resulted in significant uninsured losses.
The Challenge
The company managed over 500 active contractors working on drilling operations, pipeline maintenance, and facility construction. Manual tracking of insurance certificates was inconsistent, and several contractors were working with expired or inadequate coverage. A recent industry incident highlighted the risk of uninsured contractor claims.
The Approach
VenLink automated the collection and verification of insurance certificates across all contractors. The system validated coverage types, limits, and additional insured status against project-specific requirements. Real-time alerts notified both contractors and project managers of upcoming expirations.
Implementation Timeline
How the solution was deployed and results were achieved
The Outcome
The initial audit revealed that 23% of active contractors had some form of insurance deficiency—either expired policies, inadequate limits, or missing additional insured endorsements. The highest-risk finding was a drilling contractor operating with a lapsed $10M umbrella policy. Combined exposure across all deficient contractors exceeded $15M in potential uninsured losses.
"We thought we had insurance under control. VenLink showed us we were carrying millions in hidden exposure."