Marsh Risk, a business of global reinsurance broker Marsh, has provided comprehensive insurance for TerraPower’s Kemmerer Unit 1.
This marks a significant move as the unit is the first commercial-scale advanced nuclear power plant in the United States to receive construction approval from the Nuclear Regulatory Commission.
The placement also marks the first time a next-generation nuclear power plant in the United States has entered the commercial insurance market directly.
Coverage is backed by leading US, London and Bermuda insurers, as well as traditional nuclear insurance pools and risk retention vehicles, the broker confirmed.
Marsh Risk said the development is expected to accelerate the wider adoption of advanced nuclear technologies, which will be critical to transforming the future of clean energy infrastructure.
TerraPower’s Natrium facility in Kemerer, Wyoming, introduces an innovative approach to commercial nuclear power that combines advanced fast reactor technology with integrated energy storage to deliver safe, flexible and efficient clean energy.
The insurance program provides TerraPower and its partners with coverage throughout the power plant construction phase, which is expected to begin soon.
Commenting on the initiative, Michael Kolodner, head of Marsh Risk’s U.S. energy and power practice, said: “Marsh has been working to enhance the insurability of nuclear assets for 70 years. By expanding coverage of all available capacity and enabling direct underwriting by commercial insurers, we are significantly enhancing the insurability and bankability of the next generation of nuclear projects. Nuclear risk is an insurable risk, and now our clients can more efficiently finance this insurable risk.”
Eric Williams, executive vice president and chief operating officer of TerraPower, added: “TerraPower is delivering a commercial-scale advanced reactor power plant and insurance is a key enabler in bringing this product to market. We are pleased to see strong support from the insurance market for the construction of the first Natrium reactor, as evidenced by the oversubscribed insurance program for Kemmerer Unit 1.”
Natrium technology uses a 345 MWe sodium-cooled fast reactor with molten salt energy storage, a unique advanced reactor feature.
This storage can increase the stable output of the system to 500 MWe to meet peak demand, ensuring continued reliability and rapid improvement.
The first Natrium project is being developed in the United States through a public-private partnership with the U.S. Department of Energy. When completed, Natrium will be the first utility-scale advanced nuclear power plant in the United States.
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