A Yorkshire-based insurance broker has warned that many businesses are warned that wind farms in the region are being built without the right insurance cover.
Bluefin have sounded the warning, which comes after scores of wind farm proposals have been put in front of Scarborough Borough Council in the last few years.
Planning is also expected to be sought later in the year for a series of controversial wind masts overlooking Hunmanby.
And although there is nothing to indicate any of the wind farms in the area have the wrong insurance.
David Wilson, who leads Bluefin’s team of renewable energy insurance specialists, said: “A lot of people are not fully aware of the insurance risks involved in setting up a wind farm.
“Usually the manufacturer and contractor will provide a basic level of cover, however this often only provides cover against damage to the wind turbine itself and does not provide any cover in respect of delayed start up or advanced loss of profits, or the dozens of other potential risks associated with setting up a wind farm which can cost hundreds of thousands of pounds in lost revenue or profit.
“The risks start from the moment the wind turbine or ancillary equipment are in transit from the manufacturers to the site.
“If something gets damaged, it could easily take six months to replace the damaged item as the equipment is so specialised.”