The latter question in particular is becoming increasingly urgent. Because without insurability, investments will come under pressure and the energy transition can slow down. During a presentation on a joint position paper by industry organisations NARIM, VNAB, Adfiz and the Association, it became clear that innovation and insurability must go hand in hand.
Research
Marko van Leeuwen (Dutch Association of Insurers), Ludger de Bruijn (Adfiz) and Marieke van der Werf (Marsh) emphasised that the four trade associations did not take any chances in their investigation. In addition to qualitative research - in the form of interviews with twelve companies, five insurers and six intermediaries - quantitative research was also conducted among 37 NARIM risk managers. "The challenges they have identified are in the field of hydrogen, energy storage systems, new building materials, charging infrastructure and environmental damage risks," explains Van der Werf.
"With hydrogen and energy storage systems, you have to think of the lack of damage data and the complexity of the risks, among other things. And with the environmental damage risks to the glass particles of solar panels after a fire. The big question is who will pay for the clean-up costs of those glass particles?"
Marko van Leeuwen: "The financial sector is dealing with many new technologies and initiatives in record time"
Insurable
Logically, it is therefore specific sectors that have to deal with the (un)insurability of sustainability. Examples of tank storage and waste processing companies. Van Leeuwen: "The financial sector is dealing with many new technologies and initiatives in record time. There is a particular need for large projects such as storing CO2, but that is also precisely where the necessary challenges lie to keep it insurable."
The research shows that about a third of those surveyed have or expect to have problems insuring sustainability projects. "And let that be a condition for the energy transition," he notes.
Inform insurer faster
Both Van der Werf and Van Leeuwen emphasise during the presentation that insurers and/or intermediaries are regularly involved in plans too late. Van der Werf: "Almost a third will only do so when the plans are already in the development phase or even later. That's a shame, because it is precisely at an earlier stage that any adjustments can ensure that a project is insurable."
This important first step is also very clear in our recommendations, Van Leeuwen adds. "Find your own insurer or adviser as soon as possible, because you also have to know what you don't know."
Working hand in hand
As many as forty percent of those surveyed think that the insurance offer could hinder the net zero transition. It is therefore not surprising that the four organisations in the paper insist on good mutual cooperation. For example, the report includes various recommendations for each target group. A preview:
Recommendation for companies: involve the insurer and/or intermediary in new projects as early as possible and provide a single point of contact.
Recommendation for insurers/intermediaries: share the knowledge and keep it up to date, also to prevent risks from disappearing to Germany or England.
Recommendation for government: set clear, safe and timely standards, so that a predictable and consistent long-term policy can emerge per sector.
Van der Werf: "Through targeted collaboration between developers, insurers and policymakers (supported by better data and standards), the insurability of innovative projects can be improved. And that is crucial for accelerating the energy transition."
Curious to know more? Read the Position Paper Verzekerbaarheid energietransitie zakelijke markt.