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kWh Analytics raises $20mn for ESG insurance

8th February 2022 - Author: Katie Baker

kWh Analytics has raised $20 million in a funding round, reflecting the company’s focus on Environmental, Social, and Governance (ESG) issues within the insurance industry.

climate-changeWhile many insurance companies are addressing ESG by steering away from fossil fuels, kWh Analytics has instead developed data-driven insurance specifically for zero-carbon assets.

With the new funding, kWh Analytics plans to develop additional solutions to support solar, wind, and storage asset owners and investors, also bringing these solutions to new international markets.

Richard Matsui, CEO of kWh Analytics commented: “The most recent 2021 Intergovernmental Panel on Climate Change (IPCC) report was clear: it’s a ‘code red’ for humanity.

“The world needs more renewable energy to mitigate climate change, and insurance is key to ensuring these projects get built.

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“This new category of “Climate Insurance” is a massive, once-in-a-generation market opportunity; kWh Analytics is proud to be a market leader in this space.”

Matthias Weber, the former Chief Underwriting Officer of Swiss Re, said: “kWh Analytics has filled a critical gap in renewable energy insurance, using an innovative, data-first approach. This fundraise underscores their position as the leader in this space.”

The model has been widely successful, with its first product, the Solar Revenue Put, protecting over $3 billion of solar power plants.

kWh Analytics is proud to announce the launch of its highly anticipated Property Product, which provides all-risk coverage against physical damage for solar, storage, and wind projects.

Brad Bauer, Partner at Lacuna Sustainable Investments added: “As an investor in renewable energy power plants, we understand first-hand the challenges that investors face in procuring cost competitive insurance.

“On top of that, today’s standard insurance offerings miss important nuances specific to renewable energy equipment, like the impact of microcracks and hotspots on performance.

“That’s what makes this fundraise and product launch so important — not only is kWh Analytics supplying more insurance, but they are innovating on the existing products by using their proprietary data.”

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