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and legal review of significant engagements (including the reputations of the partiesinvolved) that may contain heightened risk.In the above-described case, the mine’s ownership had turned over several timesduring the mine’s long operating life. With the benefit of hindsight, Company X learnedof concerns involving the mine’s operations that definitely would have raised “red flags”years before had a proper risk assessment been done. If properly assessed, thisinformation might have led Company X to make different decisions relating to theproject, its role, the preparation of design documents and, most importantly, theissuance of warnings and other helpful documentation. The post-accident investigationalso revealed problems relating to methods of harvesting coal, safety violations, anddeviations from Company X’s design recommendations.The awareness and understanding of red flags at the beginning of a new relationshipwill, at the very least, guide your team to act more cautiously than usual in executing itswork. It will also help reinforce the need for careful documentation. If an accident lateroccurs, your company will be in a better position to defend itself amid the scrutiny.B. Reviewing the Adequacy of Your InsuranceAt least annually, a well-managed company should undertake a complete top-to-bottomreview of its insurance program. The company should consult not only with its broker,but also with in-house and outside counsel, to spotlight any potential gaps or new lawthat may impact coverage. Prominent items to study include levels of deductibles andself-insured retentions, total policy limits, whether limits erode, the availability of excess