Are the insurable risks of PFI projects most appropriately dealt with (a) by the private sector with a fixed cost passed through to the unitary charge, (b) by a premium risk sharing mechanism or (c) by the public sector? Please specify reasons for your choice. 

See question 23 for SFT's approach to insurance premiums. The private sector project sponsor cannot control the risk of "market" movements in insurance premiums and should not therefore be required to price for that risk (or even an element of it).  SFT has considered implementing a public sector portfolio insurance structure , or procuring authorities' general insurance / self-insurance arrangements but has considered the interaction of these with a "payment for available assets" contract would be complex and has not pursued in more detail.