Aon Launches Power Lifecycle Program to Support Conventional Gas Power Projects Powering Digital Infrastructure Growth

The program is available for grid-connected gas power projects and dedicated projects supporting data centers.

Rhea-AI Summary

Aon (AON) launched its Power Lifecycle Program, offering up to $2.5 billion per project for conventional gas power risks.

The program coordinates insurance from construction and testing through commissioning and early operations. It generally includes up to $2.5 billion per project in Erection All Risks and Delay in Startup coverage during construction, testing and commissioning. It also includes up to $2.5 billion per project in Operational Property Damage and Business Interruption coverage for the immediate operational period. Construction and operational third-party liability coverage is available up to $100 million, excluding U.S. projects. A lead panel of London-based carriers underpins the program.

Key Figures

Construction coverage: Up to $2.5 billion Operational coverage: Up to $2.5 billion Third-party liability coverage: Up to $100 million

Construction coverage

Up to $2.5 billion

Per project; Erection All Risks and Delay in Startup during construction, testing and commissioning

Operational coverage

Up to $2.5 billion

Per project; Operational Property Damage and Business Interruption during the immediate operational period

Third-party liability coverage

Up to $100 million

Construction and operational coverage; excludes U.S. projects

Key Terms

erection all risks, operational property damage, business interruption, third-party liability

4 terms

erection all risks technical

"Erection All Risks and Delay in Startup coverage per project"

An Erection All Risks (EAR) policy is a type of insurance that covers loss or damage to machinery, equipment and structures while they are being installed, assembled or tested at a job site. It protects against accidents, theft, fire, collapse and some weather damage during the construction or installation phase, much like a temporary shield for a building under construction. Investors care because EAR limits project losses, affects construction timelines and can influence cost certainty and risk disclosures for companies undertaking capital projects.

operational property damage technical

"Operational Property Damage and Business Interruption coverage per project"

Damage to physical assets—such as buildings, machinery, inventory, or fixtures—that occurs as a result of a company’s normal business operations, accidents during production or maintenance, or operational incidents like fires, spills, or equipment failures. It matters to investors because such damage can interrupt revenue-generating activities, create repair or replacement costs, and trigger insurance claims or regulatory responses; think of it as the cost and disruption when a factory or store is temporarily put out of use.

business interruption technical

"Operational Property Damage and Business Interruption coverage per project"

An interruption to a company's normal operations that reduces or stops its ability to generate revenue, for example due to physical damage, supply-chain breakdowns, regulatory actions, or IT outages. Investors care because lost sales and extra costs during the downtime can hurt cash flow, earnings and stock value, and the speed of recovery or insurance reimbursement determines how quickly the business returns to normal — like a store forced to close until repairs are done.

third-party liability technical

"Up to $100 million of Construction and Operational Third-Party Liability"

Third-party liability is a company’s legal responsibility for harm, injury, or loss suffered by someone who is not part of a contract with the company, such as a customer, passerby, or outside business. Think of it like a homeowner being held responsible if a visitor slips on their icy steps; for investors it matters because these claims can lead to legal costs, insurance payouts, settlements or fines that reduce profits and damage reputation, affecting a company's value and cash flow.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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New multiline insurance solution offers up to $2.5 billion in coverage across construction and operations for utility and digital infrastructure clients

DUBLIN, Sept. 28, 2026 /PRNewswire/ -- Aon plc (NYSE: AON), a leading global professional services firm, today announced the launch of its Power Lifecycle Program (PLP), a new integrated insurance solution designed to support conventional gas power projects from construction through testing, commissioning and into operations.

Reliable power generation is becoming increasingly important as demand for digital infrastructure, cloud computing and artificial intelligence accelerates. PLP is designed to help organizations investing at scale in power generation – whether behind the meter for dedicated digital infrastructure or in front of the meter to serve broader grid demand – address the growing risks associated with power assets required to meet rising energy needs.

"As investment in energy infrastructure continues to grow, organizations require risk solutions that evolve alongside increasingly complex power assets," said Joe Peiser, CEO of Risk Capital, Aon. "Our Power Lifecycle Program provides a coordinated insurance solution from construction, testing and commissioning through to operation. By bringing multiple coverages together within a single lifecycle framework, Aon's Power Lifecycle Program helps clients take a more holistic approach to managing project, operational and infrastructure risk."

A Lifecycle Approach to Power Risk

Developing a conventional power project involves managing interconnected risks across construction, testing, commissioning and early operations – and a loss or interruption at any stage can affect schedules, financing commitments and anticipated revenue – particularly when insurance is arranged separately at each stage. PLP's lifecycle model moves insurance from a series of disconnected placements to a single coordinated risk-transfer strategy that supports a project from site selection and construction through commissioning and ongoing operations. The result is generally better continuity of cover, reduced coverage gaps, improved capital efficiency, and greater confidence for developers, owners, lenders and investors.

Key features of PLP generally include:

• Up to $2.5 billion in Erection All Risks and Delay in Startup coverage per project, for the construction, testing and commissioning periods
• Up to $2.5 billion in Operational Property Damage and Business Interruption coverage per project, for the immediate operational period
• Up to $100 million of Construction and Operational Third-Party Liability (excluding U.S. Projects)
• Clients can opt for a tailored risk advisory assessment of the risk to projects from natural catastrophe, climate, cyber, casualty, supply chain and business interruption risks, delivering enterprise resilience from site selection through to portfolio scale. Risk Engineering and Casualty consulting available.

The program is underpinned by a lead panel of London-based carriers, combining power-sector expertise with meaningful capacity for global clients. Beyond the lead panel, the balance of capacity is predominantly London-based, complemented by significant participation from key local and global markets, providing the breadth, resilience and reach required to support projects worldwide.

PLP is available to power infrastructure developers, private equity firms funding power project developments, contractors controlling construction cover and power infrastructure owners for both grid-connected standalone conventional gas power projects and dedicated projects supporting data centers.

The launch comes as the rapid expansion of data centers drives significant investment in conventional power generation capacity and builds on Aon's established position supporting digital infrastructure clients through the Data Center Lifecycle Insurance Program that expanded to $5 billion in capacity in July 2026. Together, the two programs reflect Aon's lifecycle approach to helping clients build, operate and scale critical infrastructure with greater confidence.

About Aon
Aon plc (NYSE: AON) exists to shape decisions for the better — to protect and enrich the lives of people around the world. Through actionable analytic insight, globally integrated Risk Capital and Human Capital expertise, and locally relevant solutions, our colleagues provide clients in over 120 countries with the clarity and confidence to make better risk and people decisions that help protect and grow their businesses.

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Media Contact
mediainquiries@aon.com
Toll-free (U.S., Canada and Puerto Rico): +1 833 751 8114
International: +1 312 381 3024

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SOURCE Aon plc

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

How much coverage does Aon's Power Lifecycle Program offer?

The program generally offers up to $2.5 billion per project for construction, testing and commissioning risks, and up to $2.5 billion per project for property damage and business interruption in the immediate operational period. Third-party liability coverage is up to $100 million for construction and operations, excluding U.S. projects.

What optional risk assessment can Aon Power Lifecycle Program clients request?

Clients can opt for a tailored assessment of project risks from natural catastrophe, climate, cyber, casualty, supply chain and business interruption exposures. Risk engineering and casualty consulting are also available.