2026-04-23 · Source: ARTEMIS Reinsurance
Summary in 3 Points • Euler ILS Partners identifies $1bn opportunity • Focus on data centre sidecar risk • Niklaus Hilti discusses insurance risk transfer --- Euler ILS Partners, a Swiss insurance-linked securities (ILS) **investment** manager, has identified a significant $1 billion fund opportunity to support insurance risk transfer capacity for data centre build-outs. This opportunity is based on quota shares, which are a method of sharing insurance risk. The insights were shared by Niklaus Hilti, Chief Investment Officer of Euler ILS Partners, in an interview reported by Bloomberg, highlighting the potential for **growth** in this niche **market**. For the London Insurance Market, this development underscores the increasing importance of data centres as a critical infrastructure requiring robust insurance solutions. The $1 billion fund opportunity reflects a growing demand for insurance capacity to support the rapid expansion of data centres, which are essential for **digital** economies. This trend may lead to increased collaboration between traditional insurers and ILS managers like Euler ILS Partners, as they seek to leverage alternative capital to meet the evolving needs of the market. Underwriters, brokers, and risk managers should consider the implications of this emerging opportunity in the data centre sector. The focus on sidecar risk and quota share arrangements suggests a shift towards more innovative risk transfer mechanisms. As data centres continue to proliferate, the need for specialized insurance products will likely grow, presenting new challenges and opportunities for professionals in the London Market. Understanding the nuances of these developments will be crucial for those looking to capitalize on the expanding role of ILS in supporting infrastructure projects.
For the London Insurance Market, this development underscores the increasing importance of data centres as a critical infrastructure requiring robust insurance solutions. The $1 billion fund opportunity reflects a growing demand for insurance capacity to support the rapid expansion of data centres, which are essential for digital economies. This trend may lead to increased collaboration between traditional insurers and ILS managers like Euler ILS Partners, as they seek to leverage alternative capital to meet the evolving needs of the market.