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Allianz — Allianz Commercial — The Data Center Construction Boom webinar (May 2026)

53 slides from Allianz's conference presentation, May 2026

Slide 1: The Data Center Construction Boom
The Data Center Construction Boom © Allianz Commercial Allianz Commercial May 2026
Slide 2: Our speakers
Our speakers Daniel Schroeder Christian Kolbe Stefan Zink Jordi Basco Carrera Senior Risk Engineer Head of Global Global Property Head of Private Markets & Global Segment Practice Group Industry Lead, Telecom Global Investment Strategy Expert Team Leader Construction Claims & Data Allianz Investment
Slide 3: Content / topics
Content / topics 1 The Data Center Boom: Economic and Financing 4 Underwriting Perspective: Risk Evaluation & Selection Outlook 2 Allianz Risk Consulting View: Risk Factors and Risk 5 Q&A Management 3 Loss Trends and Claims Perspective © Allianz Commercial
Slide 5: The world's infrastructure deficit is private capital's biggest opportunity
The world's infrastructure deficit is private capital's biggest opportunity Increasing infrastructure needs and widening funding Cumulative infrastructure investment projected gap across the Atlantic calls for private capital through 2040, by sector ($106 trillion) 800 US funding gap Europe funding
Slide 6: Demand for AI will continue to grow and compute needed will continue to rise
Demand for AI will continue to grow and compute needed will continue to rise Surging global token consumption points to continued demand for compute capacity AI adoption rate continues to rise Professional Services 34,4% 40 Weekly total consumption (trillion tokens) Information 30,3% Finance & Insur
Slide 7: Demand for data centers has far outstripped supply
Demand for data centers has far outstripped supply … Primary rental rates for data centers in North Strong net absorption coupled with increasing America experiencing strong growth pre-lease rates, despite a wave of new supply 250 Low Average High 7.000 Net absorption Under construction Preleased CA
Slide 8: This dynamic will not change in the short run due to constraints of power, land, permits
… and this dynamic will not change in the short run due to constraints of power, land, permits Electricity consumption in the US and the EU to … but long grid connection lead time caps accelerate to levels not seen in two decades … the buildouts 5% US EU Amsterdam 4% London Europe Frankfurt 3% Paris
Slide 9: AI & data growth drives unprecedented infrastructure investment
AI & data Growth drives unprecedented infrastructure investment Annual Global Data Traffic Global Contracted Base US Data Center Peak Power Demand Zettabytes (ZB) Gigawatts (GW) Gigawatts (GW) 2000 250 Enterprise Cloud 140 +452% +202% +358% Inference Training 120 1500 200 100 150 80 1000 100 60 +183
Slide 10: AI enablers and adopters playing distinct roles within the ecosystem
AI enablers and adopters playing distinct roles within the ecosystem AI impact materializes through downstream applications, and AI infrastructure more insulated from service-disruption powered by upstream infrastructure risk while benefitting from strong structural demand as an enabler AI-empowered
Slide 11: Not all data center risk is created equal, where you play in the stack defines the risk you take
Not all data center risk is created equal, where you play in the stack defines the risk you take © Allianz Commercial Sources: AIM-GIS-PM
Slide 12: Risk Factors and Risk Management
Risk Factors and Risk Management Allianz Risk Consulting (ARC) view © Allianz Commercial
Slide 13: What is your strongest concern when it comes to data center construction?
What is your strongest concern when it comes to data center construction? How to answer: 1. Scan this Slido QR Code Insert New 2. Go to slido.com and use the QR Code code allianz-2 in your browser 3. Use the Webex Slide app on the right of the window © Allianz Commercial
Slide 14: What are we seeing?
What are we seeing? Shortening of Scale of facility and Natural catastrophe construction time equipment Layout events frames changes © Allianz Commercial
Slide 15: What can we expect?
What can we expect? Further Scaling Regulatory Opposition from pressure local communities © Allianz Commercial
Slide 17: Construction: Standard Risk vs Increased Risks
Construction Standard Risk vs Increased Risks Standard Risk projects involve simple, predictable construction with low exposure to natural catastrophes and stable site conditions. Increased Risk projects feature complex design, higher catastrophe exposure, novel building techniques, and challenging
Slide 19: Construction-related Risks: Fire & Smoke
Construction-related Risks Fire & Smoke • Common ignition causes • Increasing scale and density of equipment • Temporary power & generators due to grid constraints • Compressed construction schedules leading to human error • Increased scale of power generation and battery installations © Allianz Com
Slide 20: Construction-related Risks: Natural Catastrophes
Construction-related Risks Natural Catastrophes • Remote locations • Tornados • Flood • Wildfire • Convective storms Sergey Nivens / Adobe Stock 24
Slide 23: Commissioning
Commissioning • This is when data centers become live • Small errors can have disproportionate Consequences • Time pressure is a major multiplier • Temporary systems increase Vulnerability • Human and interface risk is dominant © Allianz Commercial
Slide 25: Power Risks
Power Risks Current High-Risk Exposures • Secondhand / Prototypical Gas Turbine • Combustion Engine • Demand Uncertainty • Power Spikes • BESS installation © Allianz Commercial 29
Slide 28: Data Center Market Share, by region, 2024 (%)
Data Center Market Share, by region, 2024 (%) 3% North America 7% Europe 21% 41% Asia Pacific Latin America Middle East and Africa 28% © Allianz Commercial Source: https://precedenceresearch.com/data-center-market
Slide 29: Remarkable Examples (USA)
Remarkable Examples (USA) Vantage Data Centers Lighthouse Data Center campus planned in Port Washington, Wisconsin New Albany, Ohio, Data Center Hub © Allianz Commercial Source: City of Port Washington Source: Alphabet Inc. 34
Slide 30: Remarkable Examples (Asia)
Remarkable Examples (Asia) ST Telemedia Global Data Centres (STT GDC) Facebook’s 150MW Sg data centre FUTURECIO / futureio.tech Facebook / Meta © Allianz Commercial Digital News Asia < Macquarie AirTrunk, Malaysia – 150+MW hyperscale data centre 35
Slide 31: Remarkable Examples (Asia)
Remarkable Examples (Asia) Google: Japan accelerates toward a fully digital society. Japanese floating data centre, Yokohama NTT Facilities, Inc. © Allianz Commercial GR Japan
Slide 33: Risks by phase: marine, construction, storage, operation
Marine Construction Operation Lifting Damage Storage Improper securing Theft Operator error Theft during logistics Structural Damage Power Outages Water ingress Subsidence Power Surges Transit Damage Earth Movement Overtemperature/Thermal Geopolitical Risks Crane/Building Collapse Water Damage Runaw
Slide 34: Common Data Center claims types
Common Data Center claims types High-rise data centers face significant physical risks, with structural defects in cooling and power systems often leading to major, costly delays and disputes. Data center failures can lead to significant financial loss and reputational damage for both operators and
Slide 35: Several stakeholders with differing interests
Several stakeholders with differing interests… • Owner/Developer • Contractors, General Contractor, Subcontractors • Project Managers • Equipment Vendors (OEMs) • Local Authorities • Architects, Designers • Environmental Consultants • Owner/Operator • Tenant/End-user (there can be several tenants…)
Slide 37: Geographical spread of claims
Geographical spread of claims Number of claims Severity 2% 5% 8% 3; 1% Region 21% 36% 36% Africa Asia 2; 0% Australia & New Zealand Europe 53% North America © Allianz Commercial 38% Source: Allianz Commercial Large Corp Cumulative Claims as per March 2026
Slide 38: Claims landscape per Line of Business
Claims landscape per Line of Business 400 350 300 250 200 150 100 Claim Amount 50 0 Claim Number Construction Entertainment Financial Lines Liability MidCorp Natural Property Resources Number Severity of claims 23% 53.23% Business Interruption 45% Other 52% 9% 19.9% © Allianz Commercial 67% 149.67%
Slide 39: Main causes of loss
Main causes of loss Number of losses by Cause of Loss 50 45 40 35 30 25 20 15 10 5 0 © Allianz Commercial Water Damage Willful Acts Fire Equipment Maintenance / Natural Hazards Product Defect Other Power Failure Collapse Breakdown Professional Indemnity Source: Allianz Commercial Large Corp Cumulati
Slide 40: Main causes of loss
Main causes of loss Severity by Cause of Loss 450 400 350 300 250 200 150 100 50 0 © Allianz Commercial Fire Natural Hazards Willful Acts Power Failure Water Damage Equipment Other Collapse Maintenance / Product Defect Breakdown Professional Indemnity Source: Allianz Commercial Large Corp Cumulative
Slide 42: Claims examples
Claims examples AI Data Center Testing & Commissioning Major damage to critical System operating outside General Contractor USD 25 – 50m cooling infrastructure defined safe operating limits under adverse environmental conditions Hyperscale/Cloud Data Late construction/near Fire. Extensive smoke and
Slide 43: Fire Risk in Data Centers
Fire Risk in Data Centers Yonhap News Agency Newsis via AP Data Center Fires Restoration Growing reliance on lithium-ion batteries. These batteries Verify reinstatement possibilities/costs and Warranties carry a known risk of “thermal runaway”, where cells (If possible, restoration should be commenc
Slide 45: Further risks and considerations
Further risks and considerations • Supply chain disruptions due to • Power Supply Risks / Power Outages. • Lack of maintenance can pose a geopolitical risks. • Water consumption and supply. significant risk. • Business interruption (BI) claims. • Environmental Risks. • Safe function of fire suppress
Slide 46: Risks due to current (and future) geopolitical developments
Risks due to current (and future…?) geopolitical developments © Allianz Commercial Supply chain disruptions due to geopolitical risks. Data Centers can serve as strategical targets in geopolitically tense situations due to their large impact on society.
Slide 48: Data Centers from an Underwriting Perspective
Data Centers from an Underwriting Perspective • On-premise • Distributed sites • Multi-tenant • Campus-scale • Low power density • Low latency • Shared infrastructure • Resource consumption • Stable workloads • Localized risk • Aggregation risk • Critical infrastructure © Allianz Commercial
Slide 49: Data Centers as Integrated Economic and Infrastructure Assets
Data Centers as Integrated Economic and Infrastructure Assets Reliable high-capacity electricity with redundancy and backup generation is essential for data center operation. Water supply quality and availability directly affect cooling and operational continuity of data centers. Proximity to networ
Slide 50: Insurance view of Hyperscalers
Insurance view of Hyperscalers Building, core infrastructure Property Damage, Loss of Rent High replacement cost and revenue dependency IT equipment, servers, storage Equipment, Business Interruption Dense asset concentration and shared footprint New halls, systems under construction Construction Al
Slide 51: Need for Coordinated Insurance Solutions
Need for Coordinated Insurance Solutions Single events – man-made or Nat Cat – can Location is key and building risk quality are trigger multiple insurance claims, demanding key but also BCM and assessment of integrated risk management to avoid gaps cascading failure scenarios. or overlaps. Rapidly
Slide 52: Thank you!
Thank you! 59
Slide 53: Disclaimer
Disclaimer Disclaimer & Copyright Copyright © 2026 Allianz Commercial / Allianz Global Corporate & Specialty SE. All rights reserved. The material contained in this publication is designed to provide general information only. While every effort has been made to ensure that the information provided i

Allianz Commercial — The Data Center Construction Boom webinar (May 2026) on 6ix

Allianz — Allianz Commercial — The Data Center Construction Boom webinar (May 2026)

Slide 1: The Data Center Construction Boom

Slide 2: Our speakers

Slide 3: Content / topics

Slide 4: Economic and Financing Outlook

Slide 5: The world's infrastructure deficit is private capital's biggest opportunity

Slide 6: Demand for AI will continue to grow and compute needed will continue to rise

Slide 7: Demand for data centers has far outstripped supply

Slide 8: This dynamic will not change in the short run due to constraints of power, land, permits

Slide 9: AI & data growth drives unprecedented infrastructure investment

Slide 10: AI enablers and adopters playing distinct roles within the ecosystem

Slide 11: Not all data center risk is created equal, where you play in the stack defines the risk you take

Slide 12: Risk Factors and Risk Management

Slide 13: What is your strongest concern when it comes to data center construction?

Slide 14: What are we seeing?

Slide 15: What can we expect?

Slide 16: Construction

Slide 17: Construction: Standard Risk vs Increased Risks

Slide 18: Construction-related Risk

Slide 19: Construction-related Risks: Fire & Smoke

Slide 20: Construction-related Risks: Natural Catastrophes

Slide 21: Water Damage

Slide 22: Commissioning

Slide 23: Commissioning

Slide 24: Power Risks

Slide 25: Power Risks

Slide 26: The Future?

Slide 27: Loss Trends Claims

Slide 28: Data Center Market Share, by region, 2024 (%)

Slide 29: Remarkable Examples (USA)

Slide 30: Remarkable Examples (Asia)

Slide 31: Remarkable Examples (Asia)

Slide 32: Risks

Slide 33: Risks by phase: marine, construction, storage, operation

Slide 34: Common Data Center claims types

Slide 35: Several stakeholders with differing interests

Slide 36: Claims Landscape

Slide 37: Geographical spread of claims

Slide 38: Claims landscape per Line of Business

Slide 39: Main causes of loss

Slide 40: Main causes of loss

Slide 41: Claims Examples

Slide 42: Claims examples

Slide 43: Fire Risk in Data Centers

Slide 44: Further Risks

Slide 45: Further risks and considerations

Slide 46: Risks due to current (and future) geopolitical developments

Slide 47: Risk Evaluation and Selection

Slide 48: Data Centers from an Underwriting Perspective

Slide 49: Data Centers as Integrated Economic and Infrastructure Assets

Slide 50: Insurance view of Hyperscalers

Slide 51: Need for Coordinated Insurance Solutions

Slide 52: Thank you!

Slide 53: Disclaimer