As hyperscale data center investment surges, how can retail insurance agents position themselves to ride the Artificial Intelligence-infrastructure boom? This article explores the construction risks and coverage gaps in building AI data center campuses and explains why partnering with CRC Specialty puts agents at the forefront of this opportunity.
The race to build AI infrastructure isn’t theoretical. It’s happening now. Leading tech firms and hyperscale operators are funneling massive capital into new data center campuses, often in locations with cheap power, fiber connectivity, and favorable permitting.
The U.S. data center construction market alone was valued at about $88.1 billion in 2024 and is projected to reach $152.7 billion by 2030, growing at a compounded annual rate of roughly 10.2% between 2025 and 2030.1 Meanwhile, total U.S. construction spending is expected to grow from $1.553 trillion in 2025 to $1.889 trillion by 2030, driven in part by growth in data center and industrial infrastructure3
This convergence of capital, ambition, and technological demand means a flood of new construction projects. But building AI-grade data centers is not like standard commercial construction. They bring unique exposures, performance demands, and financial pressures. That’s where retail agents can step into an expanded role, partnering with CRC Specialty to offer superior solutions and win business.
WHY CONSTRUCTION FOR AI DATA CENTERS IS A DISTINCT RISK LANDSCAPE
Power + Utility Risks Are Core, Not Peripheral
AI workloads devour electricity. Projects often hinge on securing multi-megawatt utility agreements, substation upgrades, and redundant feeds. Delays in grid interconnection, failure of backup systems, or load rejections can derail schedules and cost millions.
Extreme Build-Speed Demands, Tight Schedules
Many AI data center builds are pre-leased before breaking ground, placing pressure on construction to deliver fast. Supply chain constraints on transformers, chillers, and power modules can create scheduling domino effects and cost overruns.
Technical + Operational Performance Expectations
These facilities demand ultra-tight mechanical, cooling, redundancy, and monitoring systems. Any latent defects in electrical grounding, fire protection, or cooling design can lead to catastrophic outages or equipment damage once the load comes online.
Third-Party Liability + Contractual Risks
As margins tighten, developers may push construction teams into stricter indemnity, performance, or delay penalties. Disputes over scope creep, interface errors, and equipment failures will be common. Moreover, downstream claims may target insurers for business interruption or reputational harm linked to outages.
Environmental, Regulatory + ESG Exposure
Energy intensity, carbon footprint, generator emissions, and water usage are in the spotlight. Local communities resist load growth or diesel emissions. Developers increasingly must meet ESG criteria, carve out renewable energy offsets, or adopt green certification standards.
WHAT AGENTS MUST KNOW TO WIN IN THIS SPACE
Most standard construction or OCIP programs weren't designed for AI data center builds. Key coverage gaps may include:
- Delay in startup, "time element" coverage tailored for data center load
- Technology E&O, failure to perform
- Cyber and IT hardware exposures
- Renewable energy and power purchase agreement (PPA) risks
- Environmental liability tied to greenhouse gas, emissions, and generator use
Agents who merely place "construction" coverage will leave value on the table and may expose clients to catastrophic loss.
LEVERAGE A WHOLESALE SPECIALIST EARLY
Because AI infrastructure deals are capital-intensive and fast-moving, agents should engage wholesale partners early in the bid or development process, not after the contract is signed. Early involvement enables strategic coverage design and the possibility of a more competitive placement.
TRENDS + RISKS WORTH WATCHING
Renewable + Energy Strategy: Governments and stakeholders increasingly require clean energy procurement as part of AI infrastructure. Projects failing to plan solar, storage, or green power purchase agreements (PPAs) may face permitting pushback or ESG scrutiny.
Power Grid Sustainability: Some states are already stressing local grids. AI load demands may outpace generation unless developers invest in on-site microgrids, battery storage, or fuel cell backup.
Regulation + Litigation over AI: As AI-enabled systems come online, new liability exposures may emerge (e.g. algorithmic failure, data privacy, module integration). Wholesale specialty brokers with AI risk fluency will command value.
WHY CRC SPECIALTY IS THE PARTNER YOU WANT
CRC Group is a leading independent specialty and wholesale broker, combining local relationships, data-driven insight, and industry focus. Through CRC Specialty, retail agents gain access to:
- Deep technical underwriting expertise and capacity for complex, high-voltage builds
- Customized specialty programs and exclusive in-house products
- A collaborative underwriting approach that values early engagement and client alignment
With CRC Specialty, you’re not just placing a policy, you’re building insurance solutions for tomorrow’s infrastructure.
BOTTOM LINE
AI infrastructure and data center construction is becoming one of the largest, fastest-growing segments in U.S. construction. Standard insurance solutions won’t suffice; this space demands specialized coverage, risk engineering insight, and deep carrier relationships. Retail agents who proactively align with a wholesale partner like CRC Specialty can differentiate themselves, win new business, and deliver strategic value to AI infrastructure clients. For retail agents seeking to enter or scale in this space, CRC Specialty is your go-to wholesale brokerage partner for construction risk in AI data center development. Reach out today.
CONTRIBUTORS
- Evan Aldrich is the Office President for Charleston, SC, and CRC Specialty’s National Construction Practice Director.
- Dallas-based Andrew Grim is a Senior Vice President and Casualty Broker with CRC’s National Construction Practice.
END NOTES
- U.S. data center construction market sizing and growth projections, Grand View Research, https://www.grandviewresearch.com/horizon/outlook/data-center-construction-market/united-states
- Global data center construction sizing and CAGR, GMI Insights. https://www.gminsights.com/industry-analysis/data-center-construction-market
- U.S. construction spending growth, Merlo / BiltData.ai, https://www.forconstructionpros.com/latest-news/article/22950867/merlo-america-merlo-forecast-projects-growth-in-construction-agriculture-and-data-centers
- North America Data Center Trends H2 2024, Intelligent Investment, February 2025. https://www.cbre.com/insights/reports/north-america-data-center-trends-h2-2024
- United States of America, Cloudscene. https://cloudscene.com/market/data-centers-in-united-states/all