Renewable Energy Insurance Market Size
| Study Period | 2020-2029 |
| Market Size (2024) | USD 18.74 Billion |
| Market Size (2029) | USD 22.98 Billion |
| CAGR (2024 - 2029) | 4.16 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Europe |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Renewable Energy Insurance Market Analysis
The Renewable Energy Insurance Market size is estimated at USD 18.74 billion in 2024, and is expected to reach USD 22.98 billion by 2029, growing at a CAGR of 4.16% during the forecast period (2024-2029).
The sun and wind are the two main resources driving the expansion of renewable energy. Other forms are relevant in some areas, but they are typically more complicated, less standardized, have smaller economies of scale, and need more initial financial outlays to be utilized. In the next two decades, energy from solar and wind power should make up nearly half of global production. In contrast, coal production is expected to decrease due to the possibility that it will be outlawed or subject to heavy taxes in the future, as well as the longer-term cost, cleaner nature, and greater sustainability of renewable energy sources.
The renewable energy insurance market is expanding and has drawn much capital, making it a soft market with many obstacles for insurers. However, issues regarding the adequacy of rates and deductibles have been highlighted by recent loss trends in some parts of the renewable energy business.
Over the decade, the global market for renewable energy insurance is expected to expand by more than USD 200 billion. While North America lags behind Europe and some areas of Asia in developing offshore renewable sources, the continent leads the world in deploying solar and wind energy.
Renewable Energy Insurance Market Trends
Rising Investments are Expected to Boost the Renewable Energy Insurance Market
The surge in clean energy investments has been driven by several factors, including improved economic conditions at a time when fossil fuel prices are high and unpredictable, improved policy support through tools such as the US Inflation Reduction Act, new policies in Europe, Japan, and China, and other countries’ strong alignment of climate change and energy security objectives, particularly in import-reliant economies. These economies focus on industrial strategy as countries look to strengthen their positions in the fast-growing clean energy market.
The mining, oil, and gas industry is on track to invest more in renewable energy technologies as it seeks to diversify its portfolio and reduce its carbon footprint. Strong demand and attractive long-term incentives are driving global trends in renewable investment. For example, the EU has been implementing an integrated hydrogen strategy to promote the use of renewable and low carbon hydrogen as a form of energy. Other emerging markets, such as Colombia, have introduced new laws to boost incentives for solar and wind power.
Rising Renewable Energy Projects in Asia-Pacific Expected to Boost the Market
In the upcoming decade, approximately half of the total investment in power generation across Asia-Pacific is projected to be allocated to renewable energy sources, including energy storage. Significant investments are being made in the development of large offshore wind farms in South Korea, Japan, and Vietnam, mirroring the initiatives previously seen in Taiwan. IHI Corp. is set to install a sea turbine in the Kōchi prefecture near Japan as part of the increasing trend of solar and onshore wind projects in the area.
Asia-Pacific is growing at a faster rate than any other region in the world, with a significant share of global energy emissions projected to come from the region in the next six years. Green investments have been concentrated on solar, offshore wind, and hydroelectric power. The region is also a global leader in lithium-ion battery production, with China accounting for a leading market share. China’s large population and high electricity demand will drive the development of renewable energy sources. Many global companies, including Chinese companies, are investing in renewable energy with the support of China’s federal and provincial governments.
Renewable Energy Insurance Industry Overview
The renewable energy insurance market is consolidated. The major players dominating the player are BKS Partners, Liberty Specialty Markets, WTW, RSA Insurance, and Swiss Re.
Renewable Energy Insurance Market Leaders
-
BKS Partners
-
Liberty Specialty Markets
-
WTW
-
RSA Insurance
-
Swiss Re
*Disclaimer: Major Players sorted in no particular order
Renewable Energy Insurance Market News
- December 2023: Intact Financial Corporation and its subsidiary RSA struck a deal to offload RSA's UK direct Personal Lines operations, which represent around GBP 165 million (USD 198.96 million) in annual premiums, to Admiral Group. This agreement encompasses the transfer of renewal rights, brands, and personnel.
- December 2023: Swiss Re, a prominent global reinsurer, finalized the purchase of Fathom, a company based in Bristol that specializes in water risk intelligence and flood models. Fathom will retain its unique brand identity and work closely with Swiss Re's Reinsurance Solutions division to improve and distribute its sophisticated flood and climate risk data, maps, and models.
Renewable Energy Insurance Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.1.1 Market Drivers
4.1.2 Strong Demand for Renewable Energy Driving Market Growth
4.1.3 Global Energy Infrastructure Project Expansion Driving Market Growth
4.2 Market Restraints
4.2.1 Demand for Increased Power Generation
4.2.2 Impact of Renewable Assets Susceptible to Flood and Wind Losses on Market
4.3 Market Opportunities
4.3.1 Combining Risk Modelling and Data Analytics Techniques to Enhance Underwriting and Claims Handling
4.3.2 Rising Insurance Coverage Needs in Developing Nations as Energy Infrastructure Develops
4.4 Industry Attractiveness: Porter's Five Forces Analysis
4.4.1 Threat of New Entrants
4.4.2 Bargaining Power of Buyers/Consumers
4.4.3 Bargaining Power of Suppliers
4.4.4 Threat of Substitutes
4.4.5 Intensity of Competitive Rivalry
4.5 Insights into Government Initiatives in the Renewable Energy Insurance Market
4.6 Insights into Technological Advancements in the Industry
5. MARKET SEGMENTATION
5.1 By Type
5.1.1 Fossil Fuels
5.1.2 Sustainable and Renewable Energy
5.1.3 Nuclear Power
5.2 By Application
5.2.1 Residential
5.2.2 Commercial
5.3 By Region
5.3.1 North America
5.3.2 Europe
5.3.3 Asia-Pacific
5.3.4 South America
5.3.5 Middle East & Africa
6. COMPETITIVE LANDSCAPE
6.1 Market Concentration Overview
6.2 Company Profiles
6.2.1 BKS Partners
6.2.2 Liberty Specialty Markets
6.2.3 WTW
6.2.4 RSA Insurance
6.2.5 Swiss Re
6.2.6 Marsh McLennan
6.2.7 Horton Group
6.2.8 Gallagher
6.2.9 Munich Re
6.2.10 Chubb*
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
7.1 DISCLAIMER AND ABOUT US
Renewable Energy Insurance Industry Segmentation
Renewable energy insurance provides comprehensive coverage for the total replacement expenses of energy generated by renewable energy facilities, even extending to the construction or installation phases. Renewable Energy Insurance can help solar, green energy, and alternative energy companies. The renewable energy insurance market is segmented by type, application, and region. By type, the market is segmented into fossil fuels, sustainable and renewable energy, and nuclear power. By application, the market is segmented into residential and commercial. By region, the market is segmented into North America, Europe, Asia-Pacific, and Middle East and Africa. The report offers market size and forecasts for the renewable energy insurance market for all the above segments in value (USD).
| By Type | |
| Fossil Fuels | |
| Sustainable and Renewable Energy | |
| Nuclear Power |
| By Application | |
| Residential | |
| Commercial |
| By Region | |
| North America | |
| Europe | |
| Asia-Pacific | |
| South America | |
| Middle East & Africa |
Renewable Energy Insurance Market Research FAQs
How big is the Renewable Energy Insurance Market?
The Renewable Energy Insurance Market size is expected to reach USD 18.74 billion in 2024 and grow at a CAGR of 4.16% to reach USD 22.98 billion by 2029.
What is the current Renewable Energy Insurance Market size?
In 2024, the Renewable Energy Insurance Market size is expected to reach USD 18.74 billion.
Who are the key players in Renewable Energy Insurance Market?
BKS Partners, Liberty Specialty Markets, WTW, RSA Insurance and Swiss Re are the major companies operating in the Renewable Energy Insurance Market.
Which is the fastest growing region in Renewable Energy Insurance Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Renewable Energy Insurance Market?
In 2024, the Europe accounts for the largest market share in Renewable Energy Insurance Market.
What years does this Renewable Energy Insurance Market cover, and what was the market size in 2023?
In 2023, the Renewable Energy Insurance Market size was estimated at USD 17.96 billion. The report covers the Renewable Energy Insurance Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Renewable Energy Insurance Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Renewable Energy Insurance Industry Report
Statistics for the 2024 Renewable Energy Insurance market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Renewable Energy Insurance analysis includes a market forecast outlook to for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
