Introduction
Aon has dedicated power specialists who focus on supporting the risk management and insurance needs of our clients in the power generation and utility industries worldwide. We are able to share detailed insights into the regulatory, financial, technological, environmental and geographic aspects of global power generation.
Responsible for vital infrastructure, the power industry is continuously evolving to meet the needs of a growing population and power utilisation – significantly impacting risk profiles.
The power sector is seeing significant deal activity, with greenfield, brownfield and refinancing activity at record levels.
The power industry is continually changing due to innovation, regulations and increasing competition.
Risk Optimisation
Responsible for vital infrastructure, the power industry is continuously evolving to meet the needs of a growing population and power utilisation – significantly impacting risk profiles. As a result, stakeholders are focused more than ever, on data-driven decision making to reduce the total cost of risk and meet their growth objectives.
Identifying, quantifying and mitigating key risks are essential for power companies looking to optimise their risk management strategy. From risk identification through to claims, it’s vital that power companies employ adequate controls and procedures to protect their bottom line.
Local knowledge, global presence
In pursuit of new growth opportunities and against a backdrop of a more interconnected grid infrastructure companies are expanding their footprints overseas in the power sector. Our worldwide presence allows us to provide a dedicated local risk management and insurance service for our clients in the power industry, backed by global power and utility resources and expertise.
The combination of global strength and local knowledge helps in the in the deployment of efficient global insurance programmes that leverages the international insurance market, assessing and mitigating against political risks and maximising claims outcomes.
Power specific focus
With expertise in all areas of power generation including fossil fuels, sustainable and renewable energy and nuclear power, we help clients identify, manage and mitigate risk exposures by providing:
- Due diligence consultancy and lenders insurance advisory services
- Understanding how different technologies will affect risk profiles and insurance programme design
- Knowledge sharing around emerging risks and best practice
- Benchmarking risk management and insurance programme design
- Access to the global insurance market and innovative product areas including parametric solutions and exclusive capacity arrangements
- Specialist consultancy services from risk engineering through to cyber risk analysis
Growth enablers
The power sector is seeing significant deal activity, with greenfield, brownfield and refinancing activity at record levels. Aon support clients through this process in:
Through a wide range pre-transaction due diligence services providing qualitative and quantitative insight across a range of risk categories.
Through structuring of insurance solutions & financial instruments by transferring transaction related and contingent liabilities to the insurance market.
In addition, utilising insurance to obtain credit solutions is increasingly an important financial option for power companies to help free up capital and protect revenue flows economic uncertainties. Aon offers an integrated product that can include credit, surety and financial solutions to provide balance sheet protection and improve cash flow.
Future Proofing
The power industry is continually changing due to innovation, regulations and increasing competition.
Aon is committed to offering power risk management and insurance solutions to the challenges that the industry faces around the world from helping to managing the threat of cybercrime through to helping companies navigate the pensions risk landscape and support employee health and well-being. We continually engage with our clients to help understand their risk landscape as it continues to evolve. Highlights from our Global Risk Management Survey include:
Top five emerging risks by 2020
Regulatory / legislative changes
Cyber crime / hacking / virusses / malicious codes
Major Project Failure
Failure to innovate / meet customer needs
Economic slowdown / slow recovery
Aon may have its roots in the insurance industry, but it has an in-depth understanding of the global power industry. This means it is able to offer expertise in risk management, talent, retirement and health solutions, as well as data and analytics insight. This support can help businesses when making decisions, approaching challenges and managing risks.