GreenieRE Coalition and Trellis Climate have announced the launch of Vensurety, a new insurance platform designed to support climate technology companies. The platform is backed by anchor funding from the Schmidt Family Foundation and Builders Vision.
Vensurety, which stands for “Venture Surety,” will underwrite a new category of surety bonds aimed at providing climate tech startups with the liquidity needed for growth and commercialization.
The product is structured to combine elements of green bonds, insurance-linked securities (ILS), and blended finance. Vensurety explains that it is intended to help accelerate the development of clean energy infrastructure by offering financial guarantees to companies building early demonstration projects.
“We are proud to work with such visionary organizations to develop novel solutions that help de-risk the energy transition,” said Jeff McAulay (pictured above), CEO of GreenieRE Coalition. McAulay also confirmed that GreenieRE expects to announce its first deals in the coming weeks and months.
Traditional surety bonds have not been widely available to emerging climate technology firms, as most providers require long operating histories and substantial performance data. This has often led startups to tie up capital in escrow, which can slow their growth.
Additionally, as highlighted by Price Forbes, traditional financial instruments such as bank guarantees or letters of credit – often used in place of surety bonds – can further constrain startups by tying up valuable credit lines and limiting financial agility.
Vensurety said that it is piloting a new approach by offering surety bonds specifically tailored for climate tech startups, using risk-tolerant, philanthropic capital to back the bonds. This structure is intended to free up liquidity, lower insurance costs, and build a risk knowledge base that could attract commercial insurers in the future.
The sureties issued by Vensurety will function similarly to letters of credit, enabling companies to meet contractual obligations without locking up large amounts of capital as collateral.
Elsewhere, GreenieRE has also partnered with Underwriting Climate Solutions (UCS) to launch a surety program specifically targeting renewable energy projects. The program is designed to address the financial barriers that often delay or halt project development, particularly for developers who face difficulties securing traditional surety bonds due to limited operating history or insufficient collateral.
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