Aon expands data centre insurance programme to $5bn

Aon has expanded its Data Center Lifecycle Insurance Program (DCLP) to $5bn of capacity.

The insurance and reinsurance broker said the expanded programme broadens the integrated risk solutions available to support digital infrastructure assets from development through to long-term operations.

Aon said the move reflects rising investment in artificial intelligence, cloud computing and hyperscale data centres, which is increasing demand for insurance solutions capable of supporting larger and more complex projects.

The programme builds on previous enhancements that increased DCLP capacity to $3.5bn and expanded support for operational data centres.

Joe Peiser, CEO of risk capital at Aon, said: “Digital infrastructure has become one of the most important and capital-intensive asset classes in the global economy.

“As clients build larger and more complex data center portfolios, they need access to greater insurance capacity alongside solutions that strengthen resilience throughout the asset lifecycle.

“Expanding DCLP to $5bn demonstrates our ability to help clients access capital, manage risk, and scale with confidence,” he added.

Aon said the expanded programme reflects its “reliable by design” approach to digital infrastructure.

The broker said DCLP extends beyond traditional insurance placement by bringing together insurance capacity, engineering expertise and risk intelligence earlier in the development process.

Aon said this is intended to help clients reduce transition risk, improve resilience, and build digital infrastructure assets that are bankable, insurable at scale and resilient under stress.

The enhanced DCLP provides up to $5bn in construction all risks, delay in start-up, and property damage and business interruption coverage.

The capacity is backed by a panel of A-rated insurers from Lloyd’s and company markets, together with other facilities and products.

The programme also includes expanded liability, cyber and project cargo capabilities.

This includes up to $200m in third-party liability outside the US, $100m within the US, $400m in cyber and technology errors and omissions, and $500m in project cargo coverage.

Aon said the programme also provides up to $1bn of terrorism capacity through existing Aon facilities.

The expanded DCLP includes lifecycle risk, resilience and advisory capabilities through Aon Global Risk Consulting, covering climate risk advisory, environmental risk solutions, owners protective professional indemnity, security risk consulting, risk engineering and operational resilience expertise.