7 December 2022

Chartered Institute of Insurance – DSU Textbook

BY: Charlotte Hobbs | IN: Articles

CCi Managing Director for Insurance Services, Steven Horne,
co-authors Chartered Institute of Insurance Delay-In Start-Up textbook.

Steven Horne
Managing Director for Insurance Services

Since 2020, CCi Global Managing Director for Insurance Services, Steven Horne, has been working in collaboration with the Chartered Institute of Insurance (CII) and seven other professionals at the top of their field to author a Delay In Start-Up (DSU) textbook. Steven’s co-authors are lawyers, brokers, underwriters, and loss adjusters.

To purchase the Chartered Institute of Insurance DSU textbook, click here.

The Chartered Institute of Insurance writes,

This publication is the work of a compact team of hand-picked market experts representing all sides of the industry and is essential reading for those interested in or who wish to increase their knowledge of Delay in Start-up Insurance – DSU (re)insurance.

Since the publication of ‘Insurance of Revenue for Projects Under Construction’ (RS254) in 2003, DSU has evolved in the intervening years until now, with a considerable number of projects of varying scales and types being insured around the world.

DSU is intrinsically linked to Construction Insurance, Marine Cargo Insurance, and Business Interruption Insurance, each of which is a complex class of insurance, and DSU represents an even more complicated and often challenging type of insurance. Whilst considerable experience may have been gained by some market practitioners and buyers of DSU insurance over the years, it remains an area where some fundamental misconceptions, misunderstandings and gaps in knowledge continue to persist within the insurance industry.

A need for an improved in-depth understanding of DSU shows itself during the underwriting process and, even more significantly, after an incident that gives rise or might give rise to a claim. This publication provides its readers with material, explanations and guidance designed to overcome such shortcomings in understanding DSU in practice. By its structure, it is aimed at all market practitioners and their clients, regardless of their present level of experience.

While many of the main principles set out in the original publication remain valid, this new one, with its simpler title, tackles some key subjects in greater depth, and a number of topics are specifically addressed for the first time.

Areas that commonly reveal a need for an enhanced understanding of DSU are dealt with more comprehensively in their dedicated chapters. Examples of these are increased cost of working, liquidated damages, defects, Marine Cargo/CAR loss sharing and extending the period of insurance. Analysis of delay is another area addressed more comprehensively and some specific reinsurance topics are discussed in their respective new chapters.”

About CCi Insurance

CCi offer an integrated services approach, combining expertise on time, cost, and technical services to support our clients in their construction and insurance claims. 

Our specialist forensic timeline analyses are internationally recognised for promptly and efficiently delivering clarity to the world’s highest value and most complex Delay in Start-Up (DSU) and Business Interruption (BI) claims, having successfully advised on more than 550 time element claims. We recognise the key differences that make time-element insurance losses unique and that the insurance claims process needs to proceed harmoniously with projects’ construction management procedures.

About Steven Horne

Steven is Global Managing Director for CCi’s Insurance operations. Benefitting from a background in building services, construction management and project scheduling, Steven has been appointed as the delay expert on a number of complex high value time element delay claims, ranging up to US$1.3bn in value. Steven’s appointments have seen him act as the appointed expert witness on both matters subject to Litigation in the High Court and International Arbitration.

Steven has a detailed knowledge of experience of conducting delay assessment on Delay In Start-Up (DSU), Advance Loss of Profit (ALOP), Advance Business Interruption (ABI), Construction All Risks (CAR), Erection All Risks (EAR) and Business Interruption policy wordings.

"Since involvement on my first DSU claim in 2011, I have experienced the same ‘issues’ cropping up time and time again. The 2003 publication has been really useful for me, and I’m sure other practitioners, but to be asked to contribute to this updated text was a great opportunity to add more clarity to recurring ambiguities and hopefully help DSU move forward as a product and to provide better results for all involved. In my time at CCi I have overseen the delay analysis of hundreds of DSU claims and sharing my and our teams’ collective learnings and experiences, which are unique and unrivalled on a global scale, is a great way to give back to the DSU community.”

About CCi

Capital Consulting International (CCi) is a global consultancy of delay, quantum, technical, and project management experts, advising the insurance and construction industries.

These experts bring clarity and resolution to some of the world’s largest and most complex insurance claims and construction disputes. The knowledge generated from these three disciplines is essential in delivering complete and dependable advice to our clients – a value-add, technically based, response to claims that is relevant to the specific industry, providing greater certainty and superior customer service.