Is the agreement freely assignable by the authority? If not, is it at assignable by way of security to any relevant lenders? Is any assignment of the agreement by the operator subject to authority consent? Insurances [for more information on insurance in infrastructure projects, see Insurance Checklist] Care will need to be given that the appropriate levels and types of insurance are taken out. Due diligence will need to be made to determine what insurance is available in the host country. Does the agreement provide for any insurances to be taken out by the operator to include the authority and the lenders as co insureds? Does the agreement provide for a waiver of subrogation in respect of the authority and the lenders? Are the limits of the insurance and the limits of any deductibles appropriate? Does the agreement impose an obligation upon the operator to comply with the of all insurance policies? Are there provisions in the agreement entitling the authority to inspect the operator's insurances on an ongoing basis, to receive evidence that premiums have been paid, to approve the identity of the insurers and the terms of the insurance and to take out insurance at the operator's costs in the event that the operator is in breach of his insurance obligations? Does the agreement provide for business interruption insurance covering the loss of production due to delay caused by force majeure or authority's risks. Does the agreement provide that any insurance shall not operate as an exclusion of liability for the operator? Does the agreement provide for non-vitiation insurance to be taken out or address this risk another way?
Is the agreement freely assignable by the authority? If not, is it at assignable by way of security to any relevant lenders? Is any assignment of the agreement by the operator subject to authority consent? Insurances [for more information on insurance in infrastructure projects, see Insurance Checklist] Care will need to be given that the appropriate levels and types of insurance are taken out. Due diligence will need to be made to determine what insurance is available in the host country. Does the agreement provide for any insurances to be taken out by the operator to include the authority and the lenders as co insureds? Does the agreement provide for a waiver of subrogation in respect of the authority and the lenders? Are the limits of the insurance and the limits of any deductibles appropriate? Does the agreement impose an obligation upon the operator to comply with the of all insurance policies? Are there provisions in the agreement entitling the authority to inspect the operator's insurances on an ongoing basis, to receive evidence that premiums have been paid, to approve the identity of the insurers and the terms of the insurance and to take out insurance at the operator's costs in the event that the operator is in breach of his insurance obligations? Does the agreement provide for business interruption insurance covering the loss of production due to delay caused by force majeure or authority's risks. Does the agreement provide that any insurance shall not operate as an exclusion of liability for the operator? Does the agreement provide for non-vitiation insurance to be taken out or address this risk another way?
operation_maintenance_agreement_checklist_en.docx