Aon expands data centre insurance cover to USD $5 billion

Aon has expanded its Data Centre Lifecycle Insurance Program to USD $5 billion, increasing available cover for digital infrastructure projects and operations.

The revised programme combines construction, operational and advisory cover for data centre assets from development through long-term use. It also broadens protection across liability, cyber, project cargo and terrorism risks.

The expansion comes as insurers, brokers and infrastructure investors respond to rising demand for cover for larger data centre projects. Growth in artificial intelligence, cloud computing and hyperscale facilities has increased the scale and capital requirements of digital infrastructure developments.

Under the updated structure, clients can access up to USD $5 billion in Construction All Risks, Delay in Start-Up, Property Damage and Business Interruption cover. The programme is backed by a panel of A-rated insurers from Lloyd's and company markets, alongside other insurance facilities and products.

Additional limits include up to USD $200 million in third-party liability outside the US and USD $100 million within the US. The programme also offers up to USD $400 million in Cyber and Technology Errors and Omissions cover and up to USD $500 million in project cargo cover.

Terrorism cover of up to USD $1 billion is available through existing Aon facilities. The programme also draws on services from Aon Global Risk Consulting, including climate risk advisory, environmental risk solutions, security risk consulting, risk engineering and operational resilience support.

Market demand

Data centres have become a major target for institutional and private capital as demand for computing and storage capacity rises. That has increased pressure on project sponsors and operators to secure insurance that supports both construction risk and ongoing operational exposure across large portfolios.

The latest increase follows an earlier enhancement that lifted the programme's capacity to USD $3.5 billion and broadened support for operational data centres. The new threshold marks another step up in available limits as individual projects become larger and more complex.

The programme is designed to bring insurance capacity, engineering input and risk analysis into projects earlier in the development process. Aon said this approach helps address transition risks between construction and operation while improving the insurability of assets over time.

Joe Peiser, Chief Executive Officer of Risk Capital at Aon, linked the expansion to changes in the underlying market.

"Digital infrastructure has become one of the most important and capital-intensive asset classes in the global economy," said Joe Peiser, Chief Executive Officer of Risk Capital at Aon.

"As clients build larger and more complex data center portfolios, they need access to greater insurance capacity alongside solutions that strengthen resilience throughout the asset lifecycle. Expanding DCLP to $5 billion demonstrates our ability to help clients access capital, manage risk and scale with confidence," he said.

The broader offer reflects how insurance arrangements for data centres are moving beyond single-line cover placements. Owners, developers, lenders and operators increasingly want packages that address construction delays, physical damage, cyber incidents, liability exposures and resilience planning within one framework.

That shift matters because data centre failures can generate losses across multiple areas at once, from equipment damage and delayed opening to business interruption and contractual claims. As assets grow in value and become more central to cloud and AI workloads, the financial consequences of disruption also rise.

Aon operates in more than 120 countries, and its updated data centre programme points to the continued specialisation of insurance products for digital infrastructure. The latest version provides up to USD $5 billion for core property and construction risks, with attached limits of up to USD $1 billion for terrorism and USD $400 million for cyber-related exposures.