| Work Detail |
Tallarna, a leading climate tech and finance platform, has secured a significant contract under the New York State-based Insurance Innovation Prize, administered by InnSure and supported by the New York State Energy Research and Development Authority (NYSERDA). This contract positions Tallarna to develop a data-driven performance insurance product designed to protect the economic outcomes of Battery Energy Storage Systems (BESS) and solar PV installations in commercial real estate. The initiative represents a major milestone in Tallarna’s ongoing expansion of innovative products and markets. The new product, called Energy Infrastructure Insurance (EII), is a groundbreaking solution aimed at reducing financial risks associated with adopting clean energy technologies. By providing protection for BESS and solar PV systems, whether individually or combined, EII will help lower the cost of capital for fully funded Energy-as-a-Service (EaaS) projects. EII leverages a data-centric approach to managing risk. Tallarna will collaborate with a software analytics provider to enable detailed scenario modeling, real-time monitoring, and operational control across the lifespan of energy assets. These data-driven insights will enhance insurers’ understanding of risks, enable proactive maintenance to mitigate potential losses, and streamline claims processing. The insurance product will offer comprehensive coverage across five key risk areas: shortfall indemnity to address gaps between expected and actual cash flows due to underperformance, revenue cap and collar for price certainty in Front-of-the-Meter (FTM) revenues, defect and design fault coverage for system repairs and replacements, fire protection including thermal runaway in BESS, and compensation for reduced energy generation caused by insufficient sunlight. With coverage lasting up to 15 years, EII provides a robust solution to the complex financial risks associated with clean energy adoption. Rupert Dixon, Director of Insurance at Tallarna, stated “Overcoming the financial uncertainty facing clean energy technologies is key to driving a sustainable, profitable future for people and the planet. We are excited for this collaboration – our first with InnSure and our third with NYSERDA – to create an insurance product that offers stakeholders the robust, dynamic, and comprehensive cover required to decarbonize at scale.” Christopher Lowell, Managing Director at InnSure, said “Insurance is a powerful risk management tool that is instrumental to scaling technology adoption across various industries. Tallarna’s EII exemplifies how insurance can lead efforts to incentivize climate action by defending the financial outcomes of projects.” By the end of this contract, Tallarna aims to commercialize this innovative insurance product across New York State, significantly accelerating the adoption of sustainable energy technologies in commercial real estate while ensuring their financial viability. |
