ABSTRACT
The people financing films and television productions often seek independent assurance that the producer delivers to the agreed timescale and budget. Under a Completion Guarantee, a specialized insurance company (the guarantor) provides this assurance. The guarantor takes a very active role to identify risks affecting the project and to help the producer mitigate them. Risk identification begins with the 'specification' for the production. Before giving a guarantee, the guarantor conducts a thorough review of the script, crew, production schedules, budgets, and so on. The producer has first responsibility for delivering the project. They have an intimate knowledge of the film and how it will be realized. They are likely to live out the day-to-day details of setting up and managing the production. Thorough review processes play an important part in the identification and management of the guarantor's risks. For the financier, a completion guarantee helps bound their investment risk and provides access to independent expertise to actively manage production risks.
