Some of the nation’s largest commercial property insurers have put moratoriums on issuing new insurance policies and renewing current ones due to fear of potential civil unrest resulting from a closely contested presidential election.
The multifamily sector has been most impacted, but other all sectors have been affected. The situation has been most acute in urban areas, including Chicago, New York, Portland, Ore., and Los Angeles.
Some insurance carriers haven’t pulled back from the market, but even a few lenders waiting things out to see what happens following the election is burdensome for larger projects. In the current climate, projects cannot secure builder's risk coverage from just one carrier and must instead use three or four carriers. That raises project costs.
Insurers that have instituted moratoriums say they will continue to put policy decisions on hold until at least after the election. If the election becomes a drawn-out, litigious affair, that may mean moratoriums could be extended for many weeks.
Related Stories
Codes and Standards | Feb 7, 2019
New North Carolina energy code has extensive lighting control requirements
Includes automatic shut offs for buildings of all sizes.
Codes and Standards | Feb 6, 2019
Solar carports can help with California’s Title 24 mandates
Can be combined with virtual net-metering software and tax-enabled financing.
Codes and Standards | Feb 5, 2019
Milwaukee board approves rezoning for Western Hemisphere’s tallest mass timber building
Mixed-use tower would rise 21 stories high.
Codes and Standards | Feb 1, 2019
Mass. governor proposes real estate transfer fee hike for climate resiliency projects
Opposed by real estate and trade groups, plan could generate $1 billion in next decade.
Codes and Standards | Jan 31, 2019
New York City will reform construction bid process
Streamlined process intended to improve efficiency, reduce hassle for bidders.
Codes and Standards | Jan 30, 2019
New AGC program aims to diversify construction workforce
More diversity needed to keep pace with demand for workers.
Codes and Standards | Jan 29, 2019
Registration now open for LEED v4.1 for New Construction and Interior Spaces
Emphasizes human health and integrative building design.
Codes and Standards | Jan 25, 2019
AEC professionals should push for net zero projects
Educate and lead clients to more sustainable choices, says LEED fellow.
Codes and Standards | Jan 24, 2019
OSHA unaffected by federal government shutdown
Agency fully funded for first nine months of 2019.
Codes and Standards | Jan 23, 2019
Hackers can easily take control of construction cranes
Potential for serious harm is real, say researchers.
