Power Players: Right Sizing Solar Risk with Jason Kaminsky

In Episode 16 of Power Players by Origis®, host Michael Eyman discusses the history and future

trends of risk assessment and allocation for solar assets with Jason Kaminsky, co-founder and CEO of

kWh Analytics.

During their conversation, Kaminsky and Eyman discussed right sizing risk allocation. Three key

takeaways:

1. Risk for solar assets is being spread to more parties. It’s no longer just origination bankers

and developers, but also insurance companies, O&M operators and tax equity buyers.

2. Historically, solar projects have needed protection from physical damage and

underperformance, leading to financial losses. New provisions in the IRA create a blending

of these risks that have buyers demanding better models for production forecasts.

3. More data on weather risk mitigation and asset production are improving those forecast

models and creating an overall more reliable and resilient solar asset.

Cracking Open the Underwriting Vault: Insights into Renewable Nat Cat Resiliency

When disasters strike, is your solar site resilient enough to survive?

Data scientists and underwriters don’t often go on the record to talk about how they approach writing property risks. We believe so strongly in our methods that we’re taking a different approach. Data scientists Nicole Thompson, Veronica Anderson, and Charity Sotero recently consolidated their insights into this no-holds-barred video on actionable resiliency efforts. These are the very natural catastrophe mitigation measures that our data scientists and underwriters look for in every submission.

By analyzing past loss data and applied learnings, we help incentivize resiliency in every submission that we see. Learn what considerations across equipment, layout, and operations can boost preparedness and help your investment weather the worst scenarios. Crucial watch for solar developers and owners seeking to create disaster-ready renewable energy systems.

The perfect storm: Why solar insurers are tightening business interruption and equipment breakdown terms

Originally published on PV Tech
By Bobby McFadden, kWh Analytics, and Matt Shively, Brown & Brown


The renewable energy industry is facing a perfect storm of factors leading to tighter business interruption (BI) and equipment breakdown insurance terms. Supply chain disruptions and lagging equipment lead times have increased the tail risk of losses and exposures for insurers.

As a result, waiting periods before BI coverage applies are being increased from 15 days to anywhere between 45-90 days. Insurers are also scrutinising indemnity limits and revenue cycle assumptions. Indemnity periods are commonly limited to 12 months and in addition to insurer scrutiny, that limit is no longer sufficient given lead times for certain pieces of equipment.

Lengthy equipment lead times are exacerbating BI exposures, and carriers are becoming wary as a result. Essential solar equipment, such as transformers, inverters, panels and other electrical equipment, often have lead times of a year or more. Insurers are finding that BI losses comprise a larger percentage of the overall claim amount, and in some cases significantly exceed the physical damage portion of the claim. Insurance carriers are rightly concerned about their total potential exposure with BI losses accumulating for months while customers wait for equipment.

The situation is further exacerbated by the fact that even with a relatively small loss, the challenges of recovering to original operations are much greater.

Product instability

During a loss event, asset owners must consider a number of factors, beginning with modules. With the rapid development of worldwide solar, most manufacturers are back-ordered one to two years. Panels coming off the manufacturer’s line today are often not the same panels from five years ago, or even last year. Equipment manufacturers are offering new products to achieve higher generation output, which often have different electrical characteristics and differences in the physical footprint of the module.

The instability in product availability makes the true risk of a time element coverage substantially more volatile. Secondary panel markets are available but are difficult to navigate, not only in finding panels but also in the logistics of receiving supply.

Meanwhile, for racking, variations of panels often require new fasteners and may have mismatched loads on trackers and dampeners. Different panel size or format may require different panel spacing to prevent backshading. Often, damaged panels are not isolated to specific racks or strings, which requires a redistribution of undamaged panels. A change in panel size may also affect the racking’s wind load rating and coefficient of turbulence intensity.

An asset owner should be cognisant that decisions made when reducing a BI claim may directly impact their projects’ vulnerability to hazards. When done well, this will reduce the BI loss and improve the overall property damage risk to the asset.

Older solar systems utilise 600V or 1,000V architectures, raising questions about the availability of inverters and control stations, while more modern solar projects utilise 1,500V equipment. Higher voltage modules will typically require modern inverters. Having multiple inverters on site will require additional integration into transformers and control equipment.

Variations in hardware maintenance schedules and procedures include variations in monitoring and cleaning, which can affect operations and maintenance (O&M). This variation complicates the O&M service requirements. Spare part inventories may require a diversity of equipment not originally contemplated, all to be maintained and catalogued, and may present a new line of technical information letters and memoranda to monitor.

Finally, most operators do not have staff on hand with the knowledge of the most efficient reengineering options, nor the skilled and licensed team to implement the final replacement of reconfigured hardware. This work is more difficult than simply designing a new site as it must consider integration and loss cleanup. Similar to the major aforementioned parts of a solar project, the higher levels of engineering required for some replacement contracts are also in high demand and low supply.

As a result, those with claims need to review the increased cost for expediency with coverage extensions offered under their policies and contrast those costs with the indemnity basis of their BI coverage.

New policy directions

Insurers are also re-conceptualising how BI has been calculated on their policy forms. Some insurers’ policy forms apply the waiting period as a deductible which reduces the recoverable portion of the period of indemnity by that much, as the period of indemnity starts on the date of loss. In the case of a 90-day waiting period, there may only be nine months of indemnity instead of the 12 insureds may expect.

Although that may not be the intent of the underwriter, some claims have been adjusted on that basis. Seasonality of generation output also needs to be considered. Revenues for a project in the US during six weeks of the summer months may make up more than half the project’s annual revenues.

While there are some insurance solutions, such as the Solar Revenue Put, to protect against revenue fluctuations due to weather, traditional indemnity calculations use a monthly average throughout the year. Consequently, the annual monthly average may underestimate actual losses sustained.

Scheduled monthly indemnity limits with escalation clauses may help mitigate the underestimation but may not be available from every insurer and certainly require changes in structure and/or content in a statement of values, such as BI Values, which need to be provided broken down by month.

Insureds can take proactive steps to minimise these time element disruptions and reassure insurers through resilience and contingency planning. Having a repowering plan in place for older equipment and lining up alternative suppliers or parts for critical equipment is essential to reducing lead times. The more proactive planning and preparation done, the shorter the waiting periods insurers may allow. The key to managing BI risk in this environment is through resiliency in effort and design, and documenting proper contingency plans.

The importance of BI within property policies is only going to increase with the emergence of projects electing for the Production Tax Credit. As a result, BI limits are forecasted to increase significantly, putting relatively more exposure on operating risk for the carriers.

The renewable energy insurance market continues to tighten, and those who are reading this have probably felt those adverse effects. Working closely with brokers, risk management consultants, engineers, loss adjusters and carriers, insureds can develop plans to reduce supply chain vulnerabilities. It is increasingly relevant in disruptive times to operate proactively and cultivate transparent relationships with all parties whose interests are aligned with the same risk.

Bobby McFadden is an underwriter at kWh Analytics. Before joining kWh Analytics, he worked at Chubb for eight years in the commercial marine division, writing multi-line middle market risks throughout the United States. Prior to Chubb, Bobby worked at PwC for two years in audit services, earning his CPA licence. Bobby holds a B.S. & M.S. in accounting from Penn State University.

Matt Shively is an account manager with Brown & Brown’s Global Energy and Climate Tech Practice (formerly known as Beecher Carlson Insurance Services Global Energy Practice). Matt entered the renewables energy space in 2017 soon after receiving his bachelor’s degree in advanced chemistry from Oregon State University. He uses his scientific education and six years of experience to apply a unique attention to detail to how the renewables industry identifies, quantifies, mitigates, transfers and finances risk.

kWh Analytics appoints Isaac McLean Chief Underwriting Officer

With McLean in this role, kWh Analytics is positioned to rapidly grow innovative renewable energy insurance offerings

Originally Posted on BusinessWire

San Francisco, CA - December 4, 2023 - kWh Analytics, a leading provider of Climate Insurance for renewable energy assets, announced that it has named Isaac McLean as the company’s new Chief Underwriting Officer. McLean will lead kWh Analytics’ growing underwriting team as the company ramps up its Property Insurance offering for renewable energy assets.

“Isaac has played an integral role in expanding our company’s climate insurance offerings, a critical component of the shift to a decarbonized economy,” said Jason Kaminsky, CEO of kWh Analytics. “Isaac’s extensive experience building catastrophe-exposed property insurance programs from the ground up has proven invaluable in scaling our property offering to support the rapid expansion of renewable energy projects.”

Launched in January with capacity partner Aspen Insurance, kWh Analytics’ Property Insurance product offers coverage against physical damage for solar, storage, and other renewable projects, providing much-needed capacity to a rapidly growing industry. Renewable energy is expanding quickly, and solar alone is expected to more than double installed GigaWatts over the next five years, but insurance capacity is not currently keeping up with demand. Using its extensive database of over 2800 system years of claims data, kWh Analytics develops and accurately prices risk transfer products for renewable energy. This data expertise has enabled the company’s underwriters and data scientists to provide considerations to asset owners implementing resiliency measures for their projects against a key industry loss driver: natural catastrophes.

“This is an exciting time to work for a company that is at the forefront of innovation in the emerging renewable energy industry,” said McLean. “I am honored to work alongside an experienced, mission-driven team committed to underwriting products that enable the financing of renewable assets.”

McLean has over 18 years of insurance experience, previously serving as Head of Property Insurance at kWh Analytics, leading the charge to launch the company’s property insurance product. Prior to joining kWh Analytics, McLean spent 14 years at ICAT Managers building and growing natural catastrophe-exposed property insurance programs. These programs included residential, small commercial, and middle market books of business throughout the United States. He holds a B.B.A. in Business Management and Leadership from New Mexico State University.

ABOUT KWH ANALYTICS
kWh Analytics is a leading provider of Climate Insurance for zero carbon assets. Utilizing their proprietary database of over 300,000 operating renewable energy assets, kWh Analytics uses real-world project performance data and decades of expertise to underwrite unique risk transfer products on behalf of insurance partners. kWh Analytics has recently been recognized on FinTech Global’s ESGFinTech100 list for their data and climate insurance innovations. Property Insurance offers comprehensive coverage against physical loss, with unique recognition and consideration for site-level resiliency practices, and the Solar Revenue Put production insurance protects against downside risk and unlocks preferred financing terms. These offerings, which have insured over $15 billion of assets to date, aim to further kWh Analytics’ mission to provide best-in-class Insurance for our Climate. To learn more, please visit https://www.kwhanalytics.com/, connect with us on LinkedIn, and follow us on Twitter.

Contact

Nikky Venkataraman

Marketing Manager

kWh Analytics

E | nikky.venkataraman@kwhanalytics.com

T | (720) 588-9361

Powering Progress: Navigating the Challenges of Renewable Energy Insurance

Jason Kaminsky, CEO, kWh Analytics

I recently had the opportunity to participate in an Insurance 101 Webinar hosted by Solarplaza, with co-panelists Lindsey Chang of Marsh, and Jaime Carlson of SB Energy. Insurance continues to be an enigma in the renewable energy industry, albeit an increasingly important one. We wanted to provide some global context for understanding the space and the pivotal role insurance can play in financing and protecting your assets. 

The value chain of insurance typically flows from the client or sponsor, like SB Energy, through brokers, like Marsh, and then finally to the insurance carrier. You can also have managing general agents who help carriers understand and underwrite risk, and that is where kWh Analytics falls. Renewable Energy insurance is impacted by the entire (re)insurance ecosystem; it typically sits within a carrier’s Energy/Inland Marine book, which is within a Property insurance book. The carrier then buys reinsurance across multiple lines of business, which is essentially insurance that insurance companies purchase. Reinsurance typically renews on January 1, and this year’s renewals proved to be especially difficult. If you’ve followed the news, you’ll know that there were significant natural catastrophe losses in the past year. Reinsurance rates have shot up across many insurance types, particularly for natural catastrophe coverage, and the end clients and sponsors are feeling the effects in all lines of business, including renewables.

Since renewable energy is still a newer asset class, there are few underwriters and agencies with the expertise and specialization to truly understand the nuances and risks associated with solar panels, wind turbines, and storage. Believe it or not, some underwriters are still using the ‘tin roof’ model for solar, underwriting these assets as if they were a tin-roofed storage shed. There are a few criteria that underwriters should be looking at when assessing a project: 

• attritional risks, such as the chance of inverter failure, vandalism, etc 

• natural catastrophe risks like wind, hurricane, earthquake, fire, and flood. 

Natural catastrophe risks receive a lot of attention, and for good reason - such events have tripled in frequency in the past 50 years. These shocks to the system have caused the industry, and carriers in particular, significant concern when managing renewable energy. Major hail and hurricane events have resulted in outsized losses in carriers’ books, which are now passed onto end customers through higher premiums and tighter terms and conditions. 

The good news is that there is a lot of innovation in renewable energy, particularly around data and resiliency. With more and better data entering the space, modeling and pricing have become more accurate. At kWh Analytics, we utilize the largest database in renewable energy operating assets to understand weather predictions, the frequency of natural catastrophe events, and the actual outcomes for the assets. Today, we’re having conversations about correct hail stow angles and vegetation management, topics that were not nearly as active even 5 years ago. 

Pre-2019, insurance was abundant and asset owners could receive as much as they asked for. Between 2019 and 2022, outsized natural catastrophe losses catalyzed changing insurance terms, driving up premiums and driving down capacity, creating a difficult environment for insureds. Looking ahead, the key will be continued innovation and the further adoption of resilient practices. Sponsors can control some of their risk by diversifying their portfolio geographically, and ensuring that adequate operations and management protocols are in place for their sites. Insurance has become a crucial part of the development process and it’s important to understand it in a global context. Working with knowledgeable, specialized, and data-driven carriers will help unlock this lucrative form of capital for the renewable energy industry.

Thank you to Solarplaza for the opportunity to discuss renewable energy insurance on their platform. Check out the webinar here. Join us at Solarplaza Summit Asset Management North America this April in San Diego for further discussions on solar underproduction, mitigating natcat risks, and the future of solar insurance.

Sincerely,

Jason Kaminsky, CEO

kWh Analytics

SOLAR COSTS RISING: KWH ANALYTICS FINDS A UNIQUE INSURANCE SOLUTION

The Solar Revenue Put supports Pivot Energy in upsizing its loan facility.

SAN FRANCISCO, CA, March 6, 2023 – kWh Analytics, the market leader in Climate Insurance, has announced a partnership with Pivot Energy, LLC, to provide Solar Revenue Put production insurance for multiple distributed solar projects totaling 70 MW across six states. The Solar Revenue Put was added post financial close to improve leverage from lenders Silicon Valley Bank, Cadence Bank, and Bank United. Everest is the main carrier for the production coverage.

Once considered a low-cost investment, the price to build solar assets has increased considerably. To combat rising costs due to inflation, Pivot Energy worked with kWh Analytics to employ the Solar Revenue Put, a credit enhancement product designed to help investors improve leverage by mitigating solar production risk. Although the financing closed in April of 2022, the post-financing addition of the Solar Revenue Put for an extended 20-year term has enabled Pivot Energy to increase the loan size helping to cover increased costs that would otherwise be covered by equity.

“The post-financing partnership with Pivot Energy was a unique opportunity for our team, which worked swiftly and adeptly to secure favorable terms for our client,“ said Jason Kaminsky, CEO of kWh Analytics. “Our goal is to aid in the deployment of funds into renewable energy, and we succeeded in doing so through the utilization of the Solar Revenue Put.”

“Our partnership kWh Analytics will be a game-changer for our portfolio of community solar assets,” said Bret Labadie, Chief Financial Officer of Pivot Energy. “This insurance product reduces the risk of the portfolio, which enables stronger project returns, and ultimately allows us to more effectively finance more clean energy projects in the future.”

 The Pivot Energy portfolio presented the kWh Analytics team with a new challenge; each of the 36 sites had a different configuration, a different tracking system, and different associated risks. Utilizing the largest database of operating solar assets, the team assessed the risk at the individual project level as well as a diversified portfolio to underwrite the policy, finding the best value for the client and ultimately allowing for debt optimization for Pivot Energy.

The Solar Revenue Put is an insurance policy covering solar production to provide protection against downside risk. The policy allows asset owners to achieve more favorable financing terms via additional debt or optimized loan terms. The additional Supplemental coverage protects Pivot Energy for a 20-year term. The Solar Revenue Put coverage of the Pivot Energy portfolio brings kWh Analytics’ total assets under management to over $4 Billion.

ABOUT PIVOT ENERGY

Pivot Energy is a national renewable energy provider that develops, finances, builds, owns, and manages solar and energy storage projects. Pivot offers a distributed energy platform that includes a range of services and software that serves the full solar ecosystem. Pivot is a Certified B-Corporation that proudly follows a corporate strategy that provides a positive impact on society as measured by Environmental stewardship, Social leadership, and responsible Governance (ESG) factors. Learn more at pivotenergy.net.

ABOUT kWh Analytics

kWh Analytics is a leading provider of Climate Insurance for zero carbon assets. Utilizing their proprietary database of over 300,000 operating renewable energy assets, kWh Analytics uses real-world project performance data and decades of expertise to underwrite unique risk transfer products on behalf of insurance partners. kWh Analytics has recently been recognized on FinTech Global’s ESGFinTech100 list for their data and climate insurance innovations. The Solar Revenue Put production insurance protects against downside risk and unlocks preferred financing terms, and Property Insurance offers comprehensive coverage against physical loss. These offerings, which have insured over $4 billion of assets to date, aim to further kWh Analytics’ mission to provide best-in-class Insurance for our Climate. To learn more, please visit https://www.kwhanalytics.com/, connect with us on LinkedIn, and follow us on Twitter.

MEDIA CONTACT

Nikky Venkataraman

Marketing Manager

E | nikky.venkataraman@kwhanalytics.com

T | (720)-588-9361

De-Risking the Future: kWh Analytics, Arava Power, Paz Oil, Menora Mivtachim and Nomura Partner on Solar Investment

Originally posted on Business Wire

Solar Revenue Put production insurance supports Arava Power, Paz Oil and Menora’s US solar debut in a $200m senior secured credit facility lead by Nomura.

SAN FRANCISCO--kWh Analytics, the market leader in Climate Insurance, today announced a partnership with Arava Power, Paz Oil and Menora Mivtachim to provide production insurance to optimize debt terms on a 270MWdc utility-scale solar project in Uvalde County, TX.

Arava Power, Paz Oil and Menora Mivtachim utilized the Solar Revenue Put from kWh Analytics to de-risk their solar investment in the United States and enhance the project’s financial success. The Solar Revenue Put is an insurance policy covering solar production to provide protection against downside risk. The policy allows asset owners to achieve more favorable financing terms via additional debt or optimized loan terms, providing sponsors with greater financial flexibility and stability.

“At kWh Analytics, our goal is to provide sponsors and lenders with the tools and resources they need to confidently invest in the renewable energy sector,” said Jason Kaminsky, CEO of kWh Analytics. “The Solar Revenue Put is a game-changer, offering an uplift in return on investment and reducing the risks associated with solar performance. We are thrilled to partner with Arava Power, Paz Oil and Menora Mivtachim on this venture, and are proud to be at the forefront of renewable energy investing in the US.”

Nomura led the debt financing as sole Coordinating Lead Arranger and Sole bookrunner, arranging an approximately $200 million senior secured credit facility on behalf of Arava Power, Paz Oil Ltd and Menora Mivtachim. This financing is a landmark transaction for the consortium with the project. Nomura assembled a syndicate of international lenders which includes Siemens Financial and BHI. Snapper Creek Advisors, a boutique energy advisory firm, is providing commercialization and financial consulting to the sponsors.

“We are proud to have achieved financial closing on the exceptional Project Sunray, together with our remarkable partners, Paz Oil and Menora Mivtachim,” said Arava Power CEO, Ilan Zidkony. “This Project represents the first step in our broader US expansion strategy, and we are honored by the trust and partnership of our financing partners – Nomura, BHI, Bank Hapoalim, and Siemens Financial who have helped us reach this important milestone. We were delighted to be able to work with kWh Analytics on this project, their support and professionalism were first-class, and we look forward to working together on future projects.”

“We are proud and satisfied to reach full financial close and start construction for this substantial and unique solar PV project,” said Hagai Miller of Paz Oil. “By mid-next year, we expect this project to be in full operation, producing enough electricity to power tens of thousands of households in the area. We would like to thank our excellent partners, Arava Power Company and Menora Mivtachim group and to our remarkable financing partners who put their trust in us and into this project – Nomura, Bank Hapoalim, and Siemens Financial.”

Vinod Mukani, Global Head of Nomura’s Infrastructure and Power Business (“IPB”) commented, “We are very pleased to leverage our global financial and intellectual expertise to provide a bespoke funding and financing solution to support Arava Power, Paz Oil and Menora Mivtachim as they enter the United States market. Providing superior execution in growing sectors, like renewable energy, for excellent Sponsors like these, aligns perfectly within Nomura’s business strategy and goals.”

“Nomura is excited to provide a unique financing package supporting the funding of this important project in the US for Arava Power, Paz Oil and Menora, who have talented teams and a compelling business strategy contributing toward the transition of low carbon economy,” said Alain Halimi, Executive Director of Nomura’s IPB. “We appreciate the support and creative approach from the kWh team assisting in enhancing the project’s structure and mitigating lenders’ downside risk.”

The United States has become an increasingly attractive location for international renewable energy sponsors, with growing demand for clean energy and a supportive regulatory environment. However, making long-dated investments in such a rapidly evolving industry can expose investors to risks. The Solar Revenue Put credit enhancement provides a solution for these risks by insuring the revenue generated, increasing investor confidence in renewable energy projects and their returns. This, in turn, helps to drive the growth of renewable energy and supports the transition to a clean grid.

ABOUT Arava Power

Arava Power Company (APC) is a solar Developer / IPP that pioneered utility scale photovoltaics in Israel; developing, owning and operating hundreds of megawatts over the past 15 years.

APC’s profound expertise and years of experience have allowed it to build one of the most profitable portfolios in the industry, maintaining and improving performance through excellence in development, technological innovation and advanced asset management operations.

Today, APC holds a multi-GW development portfolio in Israel and the U.S., across utility scale PV and BESS, Agri-Voltaics and Distributed Energy Systems.

Since the earliest days of the solar industry, APC has been at the forefront of the energy transition, delivering on the promise of clean, sustainable energy to power our planet’s future.

ABOUT Paz Oil Group (TLV: PZOL)

Founded in 1922 and based in Israel, Paz (TASE: PZOL; ilA+) is one of the largest energy companies in Israel, focusing mainly on fuel retail, LPG, real estate, food & convenient retail, renewables, EV charging.

Paz is a public company whose shares are traded in the Tel Aviv Stock Exchange, and it is listed on the TASE's flagships indexes, which tracks the shares of the companies with the highest market capitalization in the stock exchange.

Paz is the largest gas retailer in Israel with about 270 gas stations and convenience retail locations and more than 60 supermarkets in the center of the cities, which is one of the leaders in Israel. Further, Paz has annual revenue of 5.3$bn, total assets of 4.5$bn and a market capitalization of over 1.3$bn. Paz is currently increasing its dedication to the energy transition infrastructure sector by beginning to install EV charging stations to its existing convenience and gas stations, receiving licenses to supply electricity to a large share of households in Israel using its hundreds of thousands existing LPG clients alongside with using the company's knowledge for recruiting new clients, and through its acquisition of supermarkets, expanding its retail of food and energy business.

In the renewable sector, Paz Group is establishing a global RES activity focusing on utility scale solar, onshore wind and storage solutions in Europe/US and expand into neighboring countries. In Israel, Paz is focusing to become a customer-centric player in the IL electricity market by providing a variety of solutions to its customers, incl. energy and electricity, mainly to the Industrial, commercial and residential sectors.

The Group's financial resilience, combined with advanced work methods, a highly developed service orientation and the ability to zero in on marketing opportunities, have positioned Paz as one of Israel's top companies, with a reputation for professionalism and leadership.

More about Paz at https://www.paz.co.il/en-US/home

ABOUT Menora Mivtachim

Menora Mivtachim Holdings Ltd. is one of Israel's five largest insurance & finance groups. The group specializes in asset management, manages the largest pension fund in Israel – ‘Menora Mivtachim pension and gemel', and is the largest General Insurer in Israel and the market leader in Motor Insurance sector. The group operates through its subsidiaries, in all sectors of Life Insurance, Long/Mid/Short-Term Savings, General Insurance and Health Insurance. In addition, the group is active in the capital markets and finance sectors, including Mutual Funds Management, Financial Portfolio Management, Underwriting and worldwide real estate investments.

ABOUT Nomura

Nomura is a global financial services group with an integrated network spanning over 30 countries and regions. By connecting markets East & West, Nomura services the needs of individuals, institutions, corporates and governments through its three business divisions: Retail, Investment Management, and Wholesale (Global Markets and Investment Banking). Founded in 1925, the firm is built on a tradition of disciplined entrepreneurship, serving clients with creative solutions and considered thought leadership. For further information about Nomura, visit www.nomura.com.

ABOUT kWh Analytics

kWh Analytics is a leading provider of Climate Insurance for zero carbon assets. Utilizing their proprietary database of over 300,000 operating renewable energy assets, kWh Analytics uses real-world project performance data and decades of expertise to underwrite unique risk transfer products on behalf of insurance partners. kWh Analytics has recently been recognized on FinTech Global’s ESGFinTech100 list for their data and climate insurance innovations. The Solar Revenue Put production insurance protects against downside risk and unlocks preferred financing terms, and Property Insurance offers comprehensive coverage against physical loss. These offerings, which have insured over $4 billion of assets to date, aim to further kWh Analytics’ mission to provide best-in-class Insurance for our Climate. To learn more, please visit https://www.kwhanalytics.com/, connect with us on LinkedIn, and follow us on Twitter.

Contacts

Nikky Venkataraman
Marketing Manager
E | nikky.venkataraman@kwhanalytics.com
T | (720)-588-9361

Powering Progress: Launching Property Insurance

Jason Kaminsky, CEO, kWh Analytics

kWh has exciting news to share. This week we are introducing property insurance for renewable energy projects, backed by capacity partner Aspen Insurance. This new product plays a vital role in the company’s mission to power the growth of the clean energy industry - an industry critical to reducing greenhouse gas emissions and ultimately fighting climate change. 

Having worked in environmental finance prior to joining kWh, I witnessed first hand the struggles this rapidly growing industry faced securing capital to develop and maintain assets, and recognized the critical role insurance plays in the shift to a decarbonized economy. Although I didn’t go into my career thinking I would end up in insurance, insurance solves problems, and this is why we transformed kWh from a data company into an insurance provider. I’m honored to be a part of a highly experienced team of former renewable energy asset owners, bankers, equipment designers, underwriters, and program managers at kWh, all deeply committed to making a change - a team that knows renewable energy assets better than anyone and holds deep relationships with market actors across the value chain.

I was recently asked if our company is an insurtech. After braving the floor of Insurtech Connect in Las Vegas this year, I can confidently say “yes.” We are using data to improve underwriting and solve big problems. As the custodians of the largest proprietary database of solar asset performance, kWh analyzes loss data from $50B of exposed assets to provide insights into risk management and selection. This database allows us to take a novel approach to pricing, managing, and ultimately mitigating the new risks. 

However, we are not “new” – we’ve been at this for ten years. Our first product, the Solar Revenue Put, now insures over $4 billion in projects. Our new property offering is a natural extension of this platform. Using our database to bring new sophistication to the assessment of property risk and exposures for renewable assets, our property insurance introduces much-needed capacity to a rapidly growing industry at a time when traditional carriers are pulling back.

I am grateful and humbled to work with an experienced, mission-driven team at the forefront of innovation in an emerging industry. And I remain firm in my commitment to uphold the company’s mission to fight climate change through underwriting products that enable the financing of renewable assets. 

Sincerely, 

Jason Kaminsky, CEO

kWh Analytics 

Renewable Energy Premiums on the Rise: kWh Analytics Partners with Aspen Insurance to Launch Property Insurance

Utilizing its proprietary database of over 300,000 renewable energy assets. kWh Analytics’ new solution to underwriting risk offers much needed capacity to meet the rapid growth of generating facilities

San Francisco, CA, January 24, 2023 – kWh Analytics, the industry leader in Climate Insurance, announced today the launch of their highly anticipated Property Insurance for renewable energy assets with capacity partner Aspen Insurance. This new product, which provides coverage against physical damage for solar and other renewable projects, introduces much-needed capacity to a rapidly growing industry at a time when traditional carriers are tightening their portfolio exposure.

Recent years have seen reduced limits and substantial cost increases for asset owners, with a need for new solutions to managing and underwriting risk. kWh Analytics Property Insurance brings new sophistication to the assessment of property risk and exposures for renewable assets, utilizing kWh Analytics' proprietary database of over 300,000 renewable energy assets. 

“The shift to a decarbonized economy is the largest macroeconomic revolution of our generation, and insurance will play a critical role in securing its future. Recognizing that this transformation requires a new approach to pricing, managing, and ultimately mitigating the new risks of the clean energy asset class, kWh Analytics is committed to underwriting products that enable the financing of renewable assets,” said Jason Kaminsky, CEO of kWh Analytics. “Our new property product is a natural extension of our platform, and we are pleased to partner with Aspen to bring it to market as we continue to utilize our data to accurately price risk transfer products.” 

“Aspen partners with only the highest quality program managers that can offer competitive products to our client base,” commented Josh Jennings, Head of Inland Marine and Property Programs at Aspen Insurance. “We are proud to expand our offerings for renewable energy clients in support of the energy transition by partnering with kWh Analytics and their data-driven underwriting capabilities. Renewable energy is a growing segment complementary to our existing property insurance offerings.”

In addition to its insurance products, kWh Analytics is leveraging data to encourage resilient design practices. By evaluating historical operating data, the company is able to identify the most common failure modes among existing solar PV projects. The findings, which are incorporated in the Property Insurance underwriting, will be distributed to the company’s clients and broadly to manufacturers, operators, carrier partners, and investors to reinforce the further development of sustainable solar projects.

ABOUT Aspen Insurance Holdings Limited
Aspen provides reinsurance and insurance coverage to clients in various domestic and global markets through wholly-owned subsidiaries and offices in Australia, Bermuda, Canada, Singapore, Switzerland, the United Kingdom and the United States. For the year ended December 31, 2021, Aspen reported $13.8 billion in total assets, $7.6 billion in gross reserves, $2.8 billion in total shareholders’ equity and $3.9 billion in gross written premiums. Aspen's operating subsidiaries have been assigned a rating of “A” (“Excellent”) by A.M. Best Company Inc. and an “A-” (Strong) by Standard & Poor’s Financial Services LLC. For more information about Aspen, please visit www.aspen.co

ABOUT kWh Analytics
kWh Analytics is a leading provider of Climate Insurance for zero carbon assets. Utilizing their proprietary database of over 300,000 operating renewable energy assets, kWh Analytics uses real-world project performance data and decades of expertise to underwrite unique risk transfer products on behalf of insurance partners. kWh Analytics has recently been recognized on FinTech Global’s ESGFinTech100 list for their data and climate insurance innovations. The Solar Revenue Put production insurance protects against downside risk and unlocks preferred financing terms, and Property Insurance offers comprehensive coverage against physical loss. These offerings, which have insured over $4 billion of assets to date, aim to further kWh Analytics’ mission to provide best-in-class Insurance for our Climate. To learn more, please visit https://www.kwhanalytics.com/, connect with us on LinkedIn, and follow us on Twitter.

Media Contact
Nikky Venkataraman
Marketing Manager 
kWh Analytics
E | nikky.venkataraman@kwhanalytics.com
T | (720) 588-9361