AXIS Insurance Services in the Greek Market Peter Fitsimmons - AVP - - PowerPoint PPT Presentation

axis insurance services in the greek market
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AXIS Insurance Services in the Greek Market Peter Fitsimmons - AVP - - PowerPoint PPT Presentation

AXIS Insurance Services in the Greek Market Peter Fitsimmons - AVP May 4 th 2018 AXIS Capital Holdings Limited, through its operating subsidiaries, is a leading provider of specialty lines insurance and reinsurance globally. 71 Fenchurch


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AXIS Capital Holdings Limited, through its operating subsidiaries, is a leading provider of specialty lines insurance and reinsurance globally. 71 Fenchurch Street, London EC3M 4BS Tel: +44 (0) 20 7877 3800 www.axiscapital.com

Peter Fitsimmons - AVP

AXIS Insurance Services in the Greek Market

May 4th 2018

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Table of Contents

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1. Introduction to AXIS and AXIS in the Greek Market 2. The Reality of Wind/Solar Accidents: Trends 2010 – 2016 3. Importance of Contingent Business Interruption 4. Independent Engineering Services 5. Conclusions and Questions

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  • 1. Introduction to AXIS and AXIS in the Greek

Market

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AXIS Renewable Energy Insurance

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  • Global Commercial Insurance Company, NYSE-listed
  • 29 Offices in 11 countries, with RE team, based in Miami, New York, Singapore and

London

  • Top 10 Lloyds of London Insurer

Gross Written Premiums 2017:

  • $3.1Bn Insurance
  • $2.4Bn Reinsurance

Financial Rating:

  • S&P: A+ (Strong)
  • AM Best: A+ (Superior)
  • Insure 1,000+ Wind & Solar projects globally

Introduction to AXIS

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AXIS Renewable Energy Insurance

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Capacity

  • Maximum Line - $250m
  • Lloyds - $100m
  • Third Party Liability - $25m
  • Lender Approved Wordings
  • Leader in Wind, Solar and Battery Storage
  • RE team, based in Miami, New York, Singapore and London
  • Cradle-to-Grave Coverage – Marine Construction Operation
  • Dedicated Claims Team
  • Renewable Energy Engineering Services
  • Construction All Risks/Operations All Risks

Introduction to AXIS Renewable Energy Team

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Position in the Greek Market

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As of 1st September 2017, the Axis Renewable Energy Team partnered with AlphaPlus Insurance Brokers This partnership brings a reliable renewable energy expertise to the Greek Insurance

  • market. This focus enables the following offerings to be made available through

AlphaPlus:

  • A global perspective providing greater understanding and appetite for evolving

technologies, such as Battery Energy Storage Systems (BESS)

  • A dedicated claims team working solely in Renewable Energy
  • Renewable Energy focused wordings, often offering broader and clearer coverages

than standard property wordings, for example Contingent Business Interruption (CBI)

  • Independent third party engineering services from engineers who have spent their

entire careers in the Renewable Energy Sector

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  • 2. The Reality of Wind/Solar Accidents:

Trends 2010 – 2016

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2.1 The Reality of Wind Accidents:

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Trends 2013 – 2016 Wind

  • USD 10m+
  • USD 5m
  • USD 1m
  • USD 500k
  • Infrequent
  • Frequent
  • Most Frequent

Fire/Collapse Lightning-Blades Transmission Line Machinery/Electrical Breakdown

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2.2 The Reality of Solar Accidents:

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Trends 2013 – 2016 Solar

  • Frequent
  • Most Frequent

Windstorm Electronic Breakdown Hail Theft Grass Fire Flooding

  • USD 10m+
  • USD 5m
  • USD 1m
  • USD 250k
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  • 3. Importance of Contingent Business

Interruption

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What is Contingent Business Interruption?

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Contingent Business Interruption (CBI) insurance is an extension to standard property insurance. It reimburses lost profits and extra expenses resulting from an interruption of business at the premises

  • f a customer OR a supplier.

There are four situations in which this coverage is widely used:

  • 1. When the insured depends on a single supplier or a few suppliers for

materials

  • 2. When the insured depends on one or a few manufacturers or suppliers for

most of its merchandise

  • 3. When the insured depends on one or a few recipient businesses to

purchase the bulk of the insured’s products

  • 4. When the insured counts on a neighbouring business to help attract

customers, known as a leader property

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CBI in Wind - Mexico

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In the summer of 2017, Mexico was hit by a 7.1 magnitude earthquake, causing over $2billion USD in damage:

  • We received notifications form 4 wind farms
  • No significant damage following the earthquake, but all of which fed into

the damaged Oaxaca Substation

  • The substation will take 7 months to repair
  • All projects are operating at reduced capacity until the utility substation

has returned to full capacity

  • The 100% claim for all wind farms could be c. USD 20 million
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CBI in Solar – Puerto Rico

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In the summer of 2017, hurricanes Irma, Jose and Maria, hit the Caribbean causing and estimated $40billion of damage. We insure a large PV plant in Puerto Rico:

  • The grid was out of order for 7 months
  • The PV project experienced minimal damage – about 3% of the panels
  • The claim could be up to USD 20 million due to the unavailability of the

grid to accept any power

  • If this had been a wind project then the costs would be higher as

temporary generation would be bought in to keep the turbines operational

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  • 4. Independent Engineering Services
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Renewables Consulting Group (RCG)

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  • RCG is a specialized expert services firm, focused solely on the global

renewable energy industry

  • Offices in New York, Glasgow, London, Amsterdam and Taipei
  • Provide Market Intelligence, Management Consulting and Technical

Advisory Services

  • Provide us with Risk Engineering surveys in Wind (On and Offshore Wind),

Solar PV, Wave & Tidal and Battery Storage

  • Work with us to provide thought leadership e.g. recent battery storage

report

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  • 5. Conclusions and Questions
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Conclusions

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  • Axis, AlphaPlus and RCG are now working together to provide a

renewable energy product, specifically for the Greek market.

  • This product has the benefit of being adapted and tested around the world

and the flexibility to meet your demands and respond to unforeseen situations

  • In addition to this product we have access to one of the best renewable

energy specific engineering firms to assist on risk surveys and more.

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References

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CBI https://www.irmi.com/articles/expert-commentary/contingent-business-interruption-getting-all-the-facts Mexico Economic Damage https://www.insurancejournal.com/news/international/2017/09/29/465995.htm Mexico Earthquake 2017 https://en.wikipedia.org/wiki/2017_Central_Mexico_earthquake