The focus was on risk management, insurance coverage, the reinsurance market, securing creditor claims, strengthening creditor involvement in project issues, instruments of sponsor support, and loss adjustment.

As part of the session Consultant’s View – Nuances, Observations, Proposals, Vadim Nikitin, Counsel at KKMP, delivered a report on Balance of Security, Sponsor Support, and Insurance Coverage in Project Financing: A Legal Consultant's View on Problematic Issues.

Vadim noted that:

Project financing in current conditions significantly deviates from the academic model of complete absence of recourse for creditors to project initiators or project sponsors. At the same time, we can often see opposing positions in practice: on the one hand, there are creditors expecting maximum security, sponsor support, and insurance coverage, and on the other hand, there are initiators believing that financial guarantees on their part make insurance not necessary. In these circumstances, reasonable balancing of the entire set of tools to reduce credit, project, and entrepreneurial risks is extremely important. In his speech at the conference, I sought to show, on the basis of real cases of the Project Financing Factory, both a possible balance and obvious excesses, including 'over-security' of the project.

In his presentation, Vadim also highlighted such instruments of creditor control over the payment of insurance compensation as appointing those as beneficiaries and/or recipients of insurance compensation, and the use of collateral under insurance contracts, which is unfamiliar for many companies.