AI data centers drive growth in captive insurance market

Marsh: Marsh is a global insurance broker and risk adviser that helps companies place commercial coverage and structure alternative risk solutions such as captives. It is relevant here because its captive solutions leadership is being cited as a source for why AI data center operators are increasingly turning to in-house insurance structures. AI data centers: AI data centers are large computing facilities built to support artificial intelligence training and inference, typically requiring substantial power, cooling, and physical infrastructure. In this news item, they are the driver behind growing demand for captive insurance as operators look for ways to cover construction, property, liability, and other physical risks tied to the build-out. Market shift: Recent reporting says AI infrastructure is pushing captive insurance beyond its traditional use in heavy-industry sectors and into data center risk management. Captive insurance: Captives are company-owned insurers used to self-insure risks that are difficult, expensive, or incomplete to cover in the traditional market. Coverage pressure: Insurers and brokers have been warning that the scale of AI data center construction is straining conventional property and liability capacity.