Legal Focus: Data centre fires are increasing risk for insurers

Insurers can reduce exposure by engaging risk consultants early in the design and construction process to identify and challenge risk-critical decisions

The global number of data centres is expanding rapidly, driven primarily by surging demand for artificial intelligence and data-intensive digital services. According to an Allianz Commercial study, global data centre spending is predicted to reach up to $7trn by 2030, largely driven by technology companies in the US and China. Construction costs are substantial, with a typical facility ranging between $500,000-$2bn.