Insurance balance sheets are becoming the marginal buyer of infrastructure
Liability duration and inflation-linked revenue are a natural match, and regulation finally agrees.
Capital DeskPublished yesterday
The structural fit between long-dated insurance liabilities and contracted infrastructure revenue was always obvious. Capital treatment made it uneconomic for years.
Successive regulatory recalibrations have narrowed that penalty enough for allocations to move, and the flows are large relative to the asset class.
The consequence is a lower cost of capital for exactly the projects — grid, water, transmission — where the financing gap has been most acute.
Drafted with AI assistance and reviewed by the Leaders & Impact editorial desk. Sourcing and factual assertion remain human-owned.