Paratus Group receives approval to offer insurance for renewable energy

Paratus Holdings Limited announced that its subsidiary, Paratus Renewables Insurance Limited, has received approval from the Guernsey Financial Services Authority to offer insurance for the renewable energy industry.

Founded in 2020, Paratus Group offers commercially viable insurance solutions to support the transition to renewable energy and sustainable fuels. With the new license, they will expand their coverage beyond aviation, maritime, and freight to include renewable power like wind, solar, biofuels, and hydrogen.

Paratus’ renewable power insurance protects generators from energy price risks, making renewable assets more competitive compared to traditional risk management solutions. Their policies also help power consumers manage operating costs and protect their finances in an unpredictable market.

This news follows Paratus’ announcement in January 2024 of a growth equity investment from Ara Partners, a private equity firm focused on industrial decarbonization. The investment has given Paratus the capital needed to expand and improve its product offerings.

Paratus has strengthened its services by partnering with px Group , an Ara Partners portfolio company and licensed Ofgem supplier, offering power balancing capabilities. This partnership allows Paratus & Partners, its insurance brokerage division, to use px Group’s expertise to offer clients better economic terms for energy offtake and 24/7 monitoring when they purchase an insurance policy.

“The renewable power licence is central to our future growth. We are writing the world’s first policy for renewable power price protec=on and our product will have a transformative impact on the renewable energy industry. It will help catalyse the growth and competitiveness of renewable power assets, as Paratus expands across the UK, Europe and the US.” – Gus Majed, Group CEO and founder of Paratus Group .