The initiative, featuring Zurich as the lead insurer and Aon as the exclusive broker, aims to accelerate the development of clean hydrogen projects.
Over the past two years, Zurich and Aon have conducted extensive research and engaged with customers to understand the specific needs and challenges associated with developing blue and green hydrogen projects. Blue hydrogen is derived from natural gas using carbon capture technologies to reduce carbon intensity, while green hydrogen is produced by splitting water into hydrogen and oxygen via electrolysis powered by renewable energy.
The new multi-line clean energy insurance facility offers comprehensive coverage through a single integrated policy. This includes construction, delay in start-up, operational cover, business interruption, marine cargo limits, and third-party liability. Additionally, it provides coverage for carbon capture, utilization, and storage technologies, offering customers a complete suite of solutions across the entire value chain of hydrogen production.
The facility has already seen overwhelming interest from participating insurers, significantly exceeding expectations.
Speaking about the news, Sierra Signorelli, CEO Commercial Insurance at Zurich, said: “Insurance is a key enabler to facilitate the net-zero transition, providing protection as well as risk expertise. Clean hydrogen has immense potential as an eco-friendly alternative to fossil fuels and we strongly believe it can play a critical role in the energy transition. We are proud to bring this ground-breaking initiative to the market together with Aon.”
Joseph Peiser, Global CEO of Commercial Risk at Aon also commented, saying: “Many developers and their capital providers have found it challenging to de-risk and secure adequate insurance coverage for the various phases of global hydrogen projects.”
He added: “This new solution caters to their unique needs, providing comprehensive coverage addressing the complex risks associated with hydrogen projects across the entire project life cycle.”
