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 | Aug 23, 2018
Cities promote deconstruction of old homes with mixed results
Market factors complicate efforts to recycle material from old structures.
Codes and Standards | Aug 22, 2018
Oregon is first state to change building code to allow tall mass timber buildings
Statewide alternate method allows early technical consideration and approval.
Codes and Standards | Aug 21, 2018
First mass timber panel made from structural composite lumber gets APA certification
Said to be much more cost effective than CLT options.
Codes and Standards | Aug 17, 2018
Zoning changes can be crucial to filling large, empty retail spaces
Alternative uses often require action by local officials.
Codes and Standards | Aug 16, 2018
Nearly a quarter of opioid overdose deaths attributable to construction workers
Massachusetts public health study finds pressure to work in pain contributes to problem.
Codes and Standards | Aug 15, 2018
ICC creates new committee on building safety and security
Will include experts from many different disciplines.
Codes and Standards | Aug 14, 2018
Philadelphia adopts 2018 IECC energy code, while state opts for 2015 code
City is one of the first jurisdictions to adopt newest code.
Codes and Standards | Aug 9, 2018
Denver’s goal of 100% renewable energy by 2030 includes net zero energy buildings
Community solar programs for low income residents part of plan.
Codes and Standards | Aug 8, 2018
Too much parking in U.S. cities proving costly
As car ownership rates drop, excess parking seems more wasteful.
Codes and Standards | Aug 7, 2018
International Fire Safety Standards (IFSS) Coalition created
Professional associations and building standards organizations join forces.
