Munich Re has become the first insurance group to offer serial loss cover for offshore wind energy units. Corresponding cover for a North Sea wind farm has been signed by REpower, Munich Re and Nordwest Assekuranz.
The cover provides that Munich Re will pay for the repair or replacement of defective turbines or individual components if there are serial losses affecting a number of elements, such as the gearbox, the rotor or the tower. Munich Re will also cover the substantial costs involved in deploying the special vessels required. The five-year cover includes retrofits carried out on units in which defective parts have been installed, even if no loss or damage has been sustained.
The cover provides that Munich Re will pay for the repair or replacement of defective turbines or individual components if there are serial losses affecting a number of elements, such as the gearbox, the rotor or the tower. Munich Re will also cover the substantial costs involved in deploying the special vessels required. The five-year cover includes retrofits carried out on units in which defective parts have been installed, even if no loss or damage has been sustained.
