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Hydro power insurance

Here to help with your hydropower project

We understand the challenges and risks your hydropower project faces. So we'll find ways to manage these risks and arrange cover to protect your project – making sure hydro plant insurance is one less thing for you to worry about.

From the planning stage to running a fully operational site, we can support your hydropower project every step of the way. We'll arrange bespoke cover for the following technologies:

  • run-of-the-river
  • diversion
  • pumped storage
  • impoundment.

How our hydropower insurance team can help

From micro-projects to large-scale hydropower plants, community or privately funded, whichever end of the scale your business sits, we're here to help.

Our team of experts will find the best way to manage your unique risks, protect your assets and your people. We'll give you the advice and support you need, whenever and however you need it.

Risks to your hydropower project you need to consider

We understand the risks your project faces:

Machinery breakdown
As with all machinery, hydro plants can breakdown; labour and replacement parts are expensive.

Plant accessibility
Because hydropower sites tend to be remote and rural locations, you may face logistical problems receiving replacement parts. Delays can result in significant disruption to your hydro plant.

Natural threats
Landslides, snowslides, and flooding present a risk of damage to your plant, particularly in the winter months.

Even though other renewable technologies' replacement and repair costs are reducing, the cost of hydro is still high compared with other renewables. But we've got your hydropower plant insurance needs covered.

Plant extensions
Many owners are now including battery energy storage systems (BESS) as an extension to the existing plant. Find out the risks associated with a BESS.

Hydro insurance plan protection we can offer when building your project

We'll manage the risks associated with the construction stages of your project, as well as arranging the correct levels of cover to protect your business, including:

  • employers liability insurance
  • public liability insurance
  • professional indemnity insurance
  • contractors all risks insurance, including contract works insurance
  • delay in start-up and advanced profits insurance
  • goods in transit insurance/marine insurance
  • environmental liability insurance
  • legal expenses
  • reinstatement/decommissioning insurance – as an alternative to a bond.

Hydropower insurance for day-to-day risks

Once your project is up and running, you'll need cover to protect against everyday operational risks, such as:

  • all risks insurance cover for plant/ equipment
  • loss of revenue insurance (business interruption cover)
  • public liability insurance
  • legal expenses.

Protecting your renewable energy investments

The UK’s renewable energy sector faces uncertainty and changes. From targeted net-zero emissions by 2050, to concerns around new technologies. Our renewable energy eBook explores how key organisations are working together to help the industry grow by ensuring long-term insurance protection.

Renewable energy project insurance

Planning a bigger project?
Whether this is your first project, or you are an experienced investor, getting insurance cover and mitigating the risks should be a priority during the planning process. We can advise on key areas of company risk to help reduce claims and business disruption.

Frequently asked questions

Q
Doesn’t my business insurance cover equipment?
A
Some business insurers provide basic material damage cover for equipment, but it rarely provides cover for loss of revenue or breakdown cover leaving you severely exposed.
Q
Why would I need business interruption insurance when I have a warranty?
A
A. Whilst a warranty will cover labour and parts that are faulty and need repairing or replacing, it will not cover the loss of income caused by the plant not running at its normal capacity should there be, for example, a delay in your plant being repaired.
Q
Are you able to provide cover under one policy through construction into operation of the plant?
A
Possibly, but this may depend on the current insurance market conditions. Insurers prefer to be involved as early as possible. Involving an insurer from the outset clearly benefits your project as:

1. they will understand your plant; and
2. you will be able to factor in loss mitigation controls they require from the outset. It is far more financially viable from a Capital Expenditure (CAPEX) perspective to do this than trying to retrofit which can be extremely costly.
Q
Can you help me understand and meet funders’ requirements and clauses?
A
Yes, we have over 15 years industry experience and understand funder requirements and can provide the advice and insurance programme conditions required.

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