Cost of insuring offshore wind 'doubled' amid heavy losses: leading broker
Losses being suffered by insurance providers said to have provoked ‘very sharp kneejerk reaction’ when it comes to pricing
Insurance providers have doubled the price of covering offshore wind projects after taking heavy losses in recent years, according to one broker, who set out what developers and the industry can do to bring costs back down.
Insurance has become “more expensive and difficult to procure” in offshore wind, said Robert Bates, head of claims at energy and infrastructure broker NARDAC.
The main reason is that insurers are “taking in less money in premium than they are paying out in claims.”