You have to feel sorry for Sydney Water. The NSW Government instrumentality had most of its cover with HIH in 2001, then took the business offshore after HIH sank and placed it with the Independent in London – which promptly went belly-up. Most recently it has  sacked risk manager Bruce Ferguson over allegations of impropriety, and has taken action against its broker, Heath Lambert.

Now it will start advertising this week for brokers to tender for its insurance services. The initial period will be for three years.