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NARDAC, a leading energy and infrastructure broker, has introduced a new Severe Convective Storm (SCS) insurance facility, providing up to $20 million in standalone coverage for renewable energy projects across the U.S. This is the first of several natural catastrophe-focused facilities planned for 2025.
As insurers reduce coverage due to rising SCS claims, many renewable projects – especially solar farms – face increased risk from hail, tornadoes, lightning, and high winds. NARDAC’s new facility aims to fill this gap, offering quick coverage approvals within 48 hours.
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The initiative follows NARDAC’s work securing additional SCS protection for a 2-GW Texas solar portfolio hit by severe hail damage. Managing Partner Jatin Sharma emphasized that shrinking insurance capacity threatens the expansion of onshore renewables, making new solutions essential.
“With increasing climate risks, our facility brings critical protection to operational and developing projects,” Sharma said. “We are committed to leading asset protection as the energy transition accelerates.”
The facility is expected to support solar-heavy states like Texas, Louisiana, Ohio, North Carolina, and Kansas, where extreme weather events are on the rise.
Source: Solar Power World
