kWh Analytics, embedded within its licensed insurance subsidiary Solar Energy Insurance Services, has launched a pilot program to recognize solar projects that take steps to withstand extreme weather.
The program aims to improve risk modeling by incorporating data from projects implementing resilience strategies that go beyond what is typically included in standard insurance submissions.
The pilot project focuses on capturing and transmitting detailed project-level resilience information to insurance companies. Advances in tracker technology, such as 70-plus degree loading capabilities, automated loading procedures, and the continued expansion of historical loading performance data, are giving insurers a clearer picture of how assets were designed and operated before severe weather events occurred.
Modeling these enhanced allocations shows significantly lower average annual losses and insurance premiums at the portfolio level compared to baseline assumptions and traditional storage protocols. Additional mitigation measures, including thicker thermally tempered module glass, can further reduce potential losses.
In the kWh Analytics 2024 Solar Risk Assessment, case studies from Longroad Energy and Nextpower showed that proactive stowage at 75 degrees could reduce the likelihood of damage during a 2022 event by 87% compared to stowage at 60 degrees.
The framework highlights the impact of advanced solar tracking systems and strategic site design in increasing resilience to high winds, hail and flooding. As extreme weather becomes more frequent in the United States, the approach aims to better integrate insurance pricing with engineering, technology and operational decisions to reduce potential losses and extend asset life.
kWh Analytics anticipates that as data quality, validation and modeling capabilities advance, more technical and operational practices will qualify for premium differentiation. The company plans to expand the framework through ongoing collaboration with industry stakeholders, observing that sharing of real-time resilience data often encourages other insurers to follow suit.
For solar developers participating in collaborative telematics programs, Nextpower will provide real-time and historical hail performance data, providing a dynamic and evidence-based view of project risk.
By integrating this operational data into its proprietary risk modeling platform, kWh Analytics can more accurately assess how system design and operational readiness impact expected losses, an approach similar to telematics in car insurance where driving behavior informs premium calculations.
“Extreme weather continues to be a significant factor in utility-scale solar losses, and the industry is rapidly improving how these risks are managed,” commented Jason Kaminsky, CEO of kWh Analytics. “By incorporating real-world data, including storage performance from the Nextpower tracking system, we can more closely tie insurance structures to demonstrated resiliency, encouraging investment to protect assets and enhance the long-term financing capabilities of solar projects.”
Jyoti Jain, Head of Software Product Management at Nextpower, added: “We are delighted to be working with kWh Analytics on this ground-breaking initiative which will bring greater transparency and precision to solar asset risk assessment.”
“By allowing customers to share verified storage performance data from our NX Horizon® trackers with Hail Pro™ technology, we are enabling a shift from modeling assumptions to real-world evidence. This insight enables insurance companies to reward projects that are truly designed and operated for long-term resiliency.”
