Free ERIS Practice Questions

Question 1

A compressor-station owner puts a new cooling-water loop into service. A week later, a flange fitted by its contractor fails, damaging a tenant's equipment; the tenant sues the owner. The contractor is still painting supports. The owner's additional-insured endorsement covers ongoing operations but excludes damage occurring after the affected portion is put to its intended use. Contractor fault is established. How does that restriction affect the owner's claim?

Accepted Answer

The loop's use places this loss outside the ongoing-operations grant.

Answer

Unfinished painting keeps the entire job within ongoing operations.

Answer

Established contractor fault preserves protection despite the loop having entered service.

Answer

The owner receives protection after its own liability policy's limit is exhausted.

Question 2

Among the invoices after a blowout is the cost of a second well drilled solely to intercept and stop the uncontrolled flow. That well will never produce hydrocarbons. The OEE policy covers reasonable operations needed to regain control and, separately, restoration of the damaged well. Where does this drilling expense belong?

Accepted Answer

Well control, because the bore serves to stop the flow.

Answer

Redrilling, because the invoice is for a new well.

Answer

Exploration, because the new borehole has no history of hydrocarbon production.

Answer

Production loss, because the original well remains offline during the work.

Question 3

After a refinery accident in Pennsylvania, an insurer accepts two employees' claims under Part One of the workers compensation policy. Statutory medical and wage benefits are expected to exceed $1 million. Part Two has a $1 million each-accident limit. The CFO asks, 'Does that limit stop the statutory benefit payments?'

Accepted Answer

No; Part One benefits are not capped by the Part Two limit.

Answer

Yes; each employee's statutory benefits stop at $1 million.

Answer

Yes; the $1 million each-accident limit applies to their combined statutory benefits.

Answer

No; transfer statutory benefits above $1 million to the commercial umbrella automatically.

Question 4

An operator employee negligently injures a subcontractor's rigger. Under the enforceable drilling MSA, operator and contractor each bear injury claims involving their own defined group, regardless of fault. Subcontractors and their employees belong to the contractor's group, and no exception applies. Between the two contracting parties, who bears this claim before insurance recovery?

Accepted Answer

The contractor, because the rigger belongs to its defined group.

Answer

The operator, because its employee caused the injury.

Answer

Neither contracting party, because the rigger is employed directly by the subcontractor.

Answer

Both parties, with the claim divided according to their respective percentages of fault.

Question 5

A solar farm's O&M contractor guarantees 97% time availability, with no energy-yield guarantee. The verified annual results are 98.4% time availability and 22% capacity factor. What can the owner conclude?

Accepted Answer

The availability promise was met; the capacity factor does not itself prove equipment failure.

Answer

The 22% capacity factor breaches the 97% availability promise.

Answer

Meeting availability also proves that forecast annual energy revenue was earned.

Answer

The gap between the percentages records time lost to equipment breakdown.

Question 6

An H2S alarm interrupts an insurance survey at a sour-gas facility. A detector beside the processing skid reads 60 ppm. 'I can't smell it anymore,' a worker says, suggesting they finish the inspection. The surveyor has no emergency-response training or respiratory protection. What is the appropriate immediate response?

Accepted Answer

Leave the affected area and follow the site's emergency procedure.

Answer

Stay to check the reading with a second detector.

Answer

Remain beside the skid to direct arriving responders, since the odor has subsided.

Answer

Finish with a buddy because the concentration is below the 100 ppm IDLH value.

Question 7

A contractor's CGL has a $1 million each-occurrence limit, a $2 million general aggregate, and a separate $2 million products-completed operations aggregate. Earlier payments used $1.4 million of the general aggregate and $400,000 of the completed-operations aggregate. A new covered ongoing-operations accident produces judgments of $800,000 for each of two visitors. With no deductible or other insurance, how much can the policy pay toward these judgments in total?

Accepted Answer

$600,000

Answer

$200,000

Answer

$1,000,000

Answer

$1,200,000

Question 8

An unexpected pit-volume gain leads a drilling crew to confirm a formation-fluid influx. The installed BOP and ordinary fluid-conditioning measures stop it. The OEE policy requires continuous, unintended flow that those measures cannot stop and has no controlled-kick extension. How should this event be described in the claim file?

Accepted Answer

A kick occurred without satisfying this policy's out-of-control definition.

Answer

A successful BOP response means no kick occurred.

Answer

The pit gain indicates lost circulation.

Answer

A covered blowout occurred because the crew used its BOP.

Question 9

A shore-based mechanic employed by a repair company is injured repairing pumps aboard a commercial oil tanker in a dry dock adjoining U.S. navigable waters. The mechanic is not a crew member, and no statutory exclusion applies. The employer carries state workers compensation but regards the landward location as ruling out Longshore exposure. Is that assessment sound?

Accepted Answer

No; ship-repair duties and the adjoining dry dock satisfy Longshore status and situs.

Answer

Yes; the accident must occur afloat for Longshore coverage.

Answer

No; repairing a vessel makes the mechanic a Jones Act seaman despite the shore-based employment.

Answer

Yes; state workers compensation eliminates federal compensation obligations arising from the same injury.

Question 10

Mobilization at a Texas drilling site is being held because the contractor's certificate leaves the additional-insured box blank. The operator has already verified an issued endorsement granting the required status, and every agreed insurance term is satisfied. The contract accepts policy and endorsement evidence and imposes no separate certificate condition. Which recommendation resolves the insurance-compliance issue?

Accepted Answer

Accept the verified endorsement and request an accurate certificate.

Answer

Postpone mobilization until the certificate is corrected.

Answer

Require a countersigned certificate before recognizing the additional-insured status granted by the endorsement.

Answer

Replace the scheduled endorsement with blanket wording to cure the missing certificate check mark.

Free ERIS Practice Questions

Domain 1: Commercial Liability Insurance for the Energy Industry

Question 1

Question 2

Domain 2: Contractual Risk Transfer in Energy

Question 3

Question 4

Domain 3: Control of Well/Operators Extra Expense Risks and Insurance

Question 5

Question 6

Domain 4: Renewable Energy: Unlocking Opportunity

Question 7

Domain 5: Understanding the Oil and Gas Industry and Its Risks

Question 8

Domain 6: Workers Comp and Maritime Liability for the Energy Industry

Question 9

Question 10

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