Amazon’s recent announcement to invest at least $20 billion in cloud computing and AI data center campuses across Pennsylvania — a record‑breaking private investment in the state — marks a turning point in digital infrastructure build-out. Spanning sites in Luzerne and Bucks counties, the project promises 1,250 full‑time roles and thousands more in construction, while pairing with high‑demand energy sources such as a nearby nuclear plant. The rapid expansion of AI data centers poses a unique set of risks — ranging from construction hazards to power and environmental challenges — and highlights the need for those involved in large infrastructure projects to close potential insurance coverage gaps and to explore alternative risk transfer solutions.
As the construction of hyperscale data centers accelerates, risk profiles are evolving just as quickly. These facilities present a unique convergence of traditional property and casualty exposures with risks tied to cyber, environmental and technological operations.
Read on to learn how policyholders should re-examine their insurance strategies to address all the emerging risk for AI infrastructure projects.