Newer materials for green, resilient building complicate insurance underwriting

New sustainable energy products using new and emerging technology make it difficult for insurance carriers to assess risk on green building projects.

Unlike on projects using standard materials, underwriters cannot look to many years of rigorous testing to see how products perform. This makes it hard to assess risk and offer policies on projects that use advanced features such as vegetative roofs, mass timber, or advanced solar panel technology.

New technology, materials, and construction methods can bring unforeseen risks, insurance executives say. Many green buildings have novel designs compared with those using conventional construction where much has been done the same way for years and the risks are well known.

Business interruptions caused by material damage in green building construction have generated costly and complex claims. These claims concern both the expense of replacing the damaged material and the amount of time it takes to replace it, especially given current supply chain difficulties.

On January 15, 2023, Phase 1 of the Kempegowda International Airport’s Terminal 2, in Bengaluru, India, began domestic operations. The 2.75 million-sf building, designed by Skidmore, Owings & Merrill (SOM), is projected to process 25 million passengers annually, while providing its travelers with a healthier environment, thanks to extensive indoor-outdoor landscaping that offers serenity to what is normally a frenzied experience.

Contractors | Apr 18, 2023

New York City construction fatalities, injuries rise in 2022 as activity booms

New York City’s construction fatalities rose from nine in 2021 to eleven in 2022, according to a report by the New York City Department of Buildings. Recorded injuries also rose to 554 last year after leveling off in 2020 and 2021.

Resiliency | Apr 18, 2023

AI-simulated hurricanes could aid in designing more resilient buildings

Researchers at the National Institute of Standards and Technology (NIST) have devised a new method of digitally simulating hurricanes in an effort to create more resilient buildings. A recent study asserts that the simulations can accurately represent the trajectory and wind speeds of a collection of actual storms.

USGBC and IWBI unveil streamlined certification pathway for LEED and WELL. Photo by Scott Webb

Green | Apr 18, 2023

USGBC and IWBI unveil streamlined certification pathway for LEED and WELL green building programs

The U.S. Green Building Council, Green Business Certification Inc., and the International WELL Building Institute released a streamlined process for projects pursuing certifications for the LEED green building rating system and the WELL Building Standard. The new protocol simplifies documentation for projects that are pursuing both certifications at the same time or that have already earned one certification and are looking to add the other.

K-12 Schools | Apr 18, 2023

ASHRAE offers indoor air quality guide for schools

The American Society of Heating, Refrigerating and Air-Conditioning Engineers (ASHRAE) has released a guide for educators, administrators, and school districts on indoor air quality. The guide can be used as a tool to discuss options to improve indoor air quality based on existing HVAC equipment, regional objectives, and available funding.

Data Centers | Apr 14, 2023

JLL's data center outlook: Cloud computing, AI driving exponential growth for data center industry

According to JLL’s new Global Data Center Outlook, the mass adoption of cloud computing and artificial intelligence (AI) is driving exponential growth for the data center industry, with hyperscale and edge computing leading investor demand.