Global captive insurance premiums have reached approximately $240 billion across more than 6,000 entities, marking a nearly 20% increase over the past two years. This growth is driven by the rise of large-scale AI data centers, which exceed the coverage capacity of traditional insurance markets.
Hyperscale data center projects now carry insurable values between $10 billion and $30 billion per facility. When accounting for high-end hardware like GPUs and networking equipment, these estimates rise to between $20 billion and $50 billion per site.
Aon has increased the capacity of its Data Center Lifecycle Insurance Program from $3.5 billion to $5 billion, representing a 43% expansion. Meanwhile, Swiss Re projects that the construction and operation of AI data centers could generate $91 billion in cumulative insurance premiums by 2030.
Tech companies are adopting captive insurance strategies, previously used by the energy and mining sectors, to gain greater control over risk management and pricing. Industry experts note that traditional policies often lack the flexibility required for the specific operational risks associated with AI training clusters.
