First guarantee insurance for wind power plants, says Munich Re
Munich Re is to begin insuring the guarantees being offered by German wind-power plants builder, Fuhrländer, to its customers.
The (re)insurance giant said it is the world's first insurance of its kind and becomes part of a range of innovative covers that Munich Re is using to underwrite risks in the renewable energies sector.
Fuhrländer gives buyers of its up to 2.5-Megawatt wind turbines a technical guarantee of five years in conjunction with corresponding service contracts.
Munich Re is covering these guarantees and assuming the associated financial risk.
This makes it easier for the manufacturer to conduct business and allows it to focus its resources on expanding its position in the market, the company added.
"This investment security underscores the reliability of our technology and is a token of our true customer orientation", declared Joachim Fuhrländer, chairman of the board of management of the international Fuhrländer Group.
Thomas Blunck, member of Munich Re’s board of management, said: "We are very pleased that, in Fuhrländer, we have been able to win the first customer for innovative covers of this type in the wind-energy sector.
"Munich Re is thus again the pioneering force in the market, after having also been the first to offer performance guarantee covers for photovoltaic products."
In order to realise this non-cancellable cover, Munich Re said it brought in one of its specialty primary insurers.