The proportion of insurance claims made by renewables project owners for extreme weather losses has almost doubled in the past year, according to specialist renewables insurer GCube.

GCube, which claims to be the world’s largest renewables insurer, said 15% of all claims submitted to the company by renewables asset owners in 2018 were for extreme weather events such as wildfires and hurricanes — “almost double that of previous years”.

The wider insurance industry has already reported that 2018 saw the fourth-highest number of natural-catastrophe losses of all time.

GCube declined to say how many claims were made for extreme weather events, citing “commercial sensitivity”, but added that it was “a substantial number”.

Claims included “major damage” from flooding at an Australian wind farm, and damage to solar panels at a California parking lot caused by burning cars during a wildfire.

“As the global climate shifts, the nature of extreme weather is likely to change,” said the insurer. “This means that damage will be caused outside of season and in unexpected locations.”

Chief executive Fraser McLachlan added: “Every so often, the market gets caught out. As the climate changes, so must our expectation of when and where losses will occur.”

He cited California, and its recent wildfires, as an example of where risks have changed.

“The US as a whole may not be at high risk of wildfires, but any project in California now needs unique consideration of how wildfire will affect surroundings — both on- and off-season. As extreme weather grows more erratic, preparing for the worst is of paramount importance.

“Apart from anything, if a project causes third-party damage, the owner might be liable. Considering risk on a project-by-project basis is the best way to avoid this.”

GCube suggests that siting renewables projects next to areas historically prone to natural catastrophes may be ill-advised.

“Realistically, siting a project on the edge of a flood zone or wildfire area is no better than building one in a flood zone or the wildfire zone — it carries almost the same degree of risk,” said McLachlan.

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Extreme-weather insurance claims 'almost doubled' in 2018