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.
Related Stories
| Jan 8, 2013
Group releases safety and building codes from 24 countries
Public.Resource.Org released 10,062 public safety documents including building codes covering 24 countries and 6 regions.
| Jan 8, 2013
Montana developing high-performance building standards for state projects
The Montana Department of Administration is developing a single building standard for all state facilities, and hopes to have a plan in place this spring.
| Jan 4, 2013
AGC economist says "fiscal cliff" deal will give construction a boost
The deal in Congress to avoid going over the so-called fiscal cliff "should encourage many businesses to go ahead with projects they have held in reserve," said Ken Simonson, chief economist of the Associated General Contractors of America.
| Jan 4, 2013
California standards on furnishings, insulation to be revised
California is revising the state’s standards on interior furniture and insulation to maintain or improve fire safety while reducing or eliminating the use of toxic chemicals.
| Jan 4, 2013
Tilt-Up Concrete Association releases new temporary wind bracing guidelines
The Tilt-Up Concrete Association has released revised guidelines on Temporary Wind Bracing of Tilt-Up Concrete Panels During Construction.
| Jan 4, 2013
San Diego office tower to be America's biggest net-zero building
The 13-floor, 415,000 sf La Jolla Commons II office tower in San Diego will be the largest building in the U.S. built to the net-zero standard upon completion in 2014, according to real estate firm Hines.
| Jan 4, 2013
Manchester, England building achieves highest BREEAM rating in U.K.
One Angel Square in Manchester, England, is the highest scoring outstanding building for the Building Research Establishment Environmental Assessment Method (BREEAM) in the U.K.
| Dec 27, 2012
Pentagon eases leasing standards established in 9/11 aftermath
The Pentagon has eliminated the stringent real estate leasing standards it put into place following the Sept. 11, 2001, terrorist attacks, reverting back to a version widely used by federal civilian agencies.
| Dec 27, 2012
Google provides USGBC with $3 million grant to transform building materials industry and indoor health
Google has contributed a $3 million grant to the U.S. Green Building Council (USGBC) to help transform the building materials industry and accelerate the creation of healthier indoor environments.
| Dec 27, 2012
Former industrial French city reshapes itself according to ambitious green standards
Nantes has a strong commitment to address challenges such as urban sprawl and carbon dioxide emissions.