The Fidelis Partnership, a managing general underwriter based in Bermuda, has unveiled a new insurance consortium aimed at covering risks tied to building AI data centers. This move comes as the demand for these centers grows quickly, with the market expected to bring in billions in new insurance premiums annually. The consortium will focus on providing extra layers of coverage for construction risks, especially where current insurance options fall short.
This global offering is backed by a total capacity of $250 million. That capacity includes contributions from Fidelis Insurance Group and Fidelis Syndicate 3123, longtime partners with The Fidelis Partnership. Looking ahead, starting January 1, 2026, additional capacity will be added from a new Blackstone-backed group, Syndicate 2126. Together, these resources will give the market a significant boost in available coverage for AI data center projects.
Michael Davern, UK Chief Underwriting Officer and head of property and energy for The Fidelis Partnership, shared his enthusiasm about the launch. He highlighted the rapid growth and size of AI data centers, emphasizing the need for proper insurance support for these complex and valuable construction projects. Davern also pointed out that this new capacity aligns well with The Fidelis Partnership’s existing insurance products across areas like terrorism, cargo, project finance, and renewables. This setup will create opportunities to offer tailored solutions to clients.
The consortium joins other groups led by The Fidelis Partnership that focus on areas such as economically linked risks and contingencies. The Fidelis Partnership itself operates globally as a private, Bermuda-headquartered managing general underwriter. Besides underwriting specialty property and reinsurance products, it also supports specialist managing general agents through its Pine Walk Capital platform.
With AI data centers becoming more important every day, this new insurance consortium aims to address a growing need in the market. By stepping in now, The Fidelis Partnership is helping ensure the right coverage is available as the industry expands.