Willis, part of WTW, has established a dedicated data centre industry practice in Asia, aiming to address the growing risk management needs of the region’s rapidly expanding data centre sector.
The move comes as the Asian market is projected to lead global growth in data centre colocation over the next five years, with significant construction activity underway across South and Southeast Asia, as well as Australasia. Industry data from Global Data estimates the value of ongoing and planned data centre projects in these regions at approximately US$160 billion.
Countries such as Indonesia, the Philippines, and India are expected to be key drivers of this expansion, as demand for digital infrastructure and cloud services accelerates. The sector’s growth is attributed to increased investment from global technology firms and the rising need for computing power to support artificial intelligence (AI) and digital transformation initiatives.
The rapid expansion of AI and cloud computing is fueling a global boom in data centre construction. According to Allianz Commercial, up to US$7 trillion is expected to be spent on data centres worldwide by 2030, with the United States and China leading investment. Major technology firms such as Amazon, Microsoft, Google Cloud, Alibaba, and Tencent are collectively investing hundreds of billions of dollars annually to build the infrastructure and energy resources required for high-performance AI and cloud computing.
Asia’s share of this growth is significant, with countries across the region attracting both local and international investment. While the US is projected to account for about two-thirds of global data centre power demand by 2028, Asian markets are rapidly catching up, particularly in hyperscale capacity and pipeline activity.
Data centres face a wide array of risks throughout their lifecycle, from initial financing and construction to ongoing operations. These risks include exposure to natural disasters, business interruption, environmental liabilities, and cyber threats. As the Allianz Commercial report highlights, the complexity and scale of modern data centre projects - some costing upwards of US$20 billion - require project-specific insurance solutions tailored to address risks such as power supply issues, faulty workmanship, fire, and natural catastrophes.Luke Ware, head of Asia at WTW, commented: “This dynamic sector presents a complex insurance landscape, with stakeholders ranging from financiers and developers to operators and tenants.” Willis’ new practice aims to provide a unified risk advisory solution by integrating expertise from multiple business lines and collaborating with both regional and global specialists. The firm’s approach is designed to help clients navigate the evolving risk environment and regulatory landscape in the data centre sector.
Lay See Ong has been appointed as practice leader for the data centre industry practice in Asia, based in Singapore. Ong brings over 25 years of experience in risk advisory, broking, and client management, with a strong background in technology, media & telecommunications (TMT), and infrastructure. Her leadership is expected to strengthen Willis’ ability to deliver specialist solutions for the complex needs of the data centre sector.
As data centre projects become larger and more complex, the need for specialist insurance and risk management guidance is paramount. Allianz Commercial’s regional managing director for Asia, Christian Sandric, notes that “these complex and extensive risks call for specialist insurance and expert risk-management guidance, and clients need to work with an experienced team of underwriters who knows the business and can support the project from beginning to end, including multi-year coverage and policy extensions as needed.”
Willis’ new practice is a response to this market demand, aiming to provide integrated, industry-specific solutions that address the full spectrum of risks facing data centre stakeholders in Asia and beyond.
