SOLAR VS HAIL: PIVOTING AWAY FROM DANGER
Introduction
The impact of extreme weather on solar photovoltaic (PV) assets is one of the main underwriting considerations for renewable energy insurers. Severe convective storms that are widespread and intense, and bring powerful winds and destructive hailstones, pose a particular challenge for the solar industry.
While once considered a rarity, giant hailstones capable of causing serious damages now pose significant threats to solar PV projects from Texas to South Africa. As hail damage to installations and unpredictable weather patterns increase, and as solar PV capacity is deployed at an incredible rate, elevating understanding of hail risk and implementing effective mitigation strategies are even more important.
At AXIS we are taking up this challenge, in close collaboration with our partners and customers across the solar industry. In this special report from AXIS Global Energy, we combine our latest claims analysis, risk insights developed over more than a decade of underwriting solar projects globally, and technical analysis by established industry experts to understand the hail threat and the mitigation strategies to protect solar assets against hail damage.
Hail is a weather risk that is expected to become more severe over time. Analysis of our data within this report shows total gross claim amount of $340million for reported solar PV hail claims to AXIS with dates of loss 2019-2024. We firmly believe that through sharing knowledge we can advance understanding of how to mitigate the financial and physical impact and build resiliency in solar.
Total claim amount (gross) for solar PV hail claims, 2019-2024
Contents
Read on to find out more about:
- The extent of global locations with exposure to solar PV module-damaging hail
- The benefits of stow strategies with tracker systems in reducing PV module breakage probability
- Claims insights from solar PV assets that have been damaged by extreme weather and hail
- Recommended pillars of best practice for hail-exposed solar PV projects
- The process of underwriting solar PV risks at AXIS and providing continuous support for customers in managing hail exposure
- The importance of collaborative effort between manufacturers, forecasters, owners, operators, and insurance in reducing the risk of hail damage
