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
Codes and Standards | Jun 17, 2020
AIA offers retail and office 3D models for reducing risk of COVID-19 transmission
For modifying stores and offices with 17-point architectural, engineering, and administrative framework.
Codes and Standards | Jun 17, 2020
Santa Fe is second city in the world to achieve LEED v4.1 Gold
New Mexico community gained credits for resilience planning, including public health crises.
Codes and Standards | Jun 15, 2020
NSF International’s Checked by NSF program helps businesses reopen safely
Includes third-party validation of COVID-19 preventive measures.
Codes and Standards | Jun 15, 2020
Workers want policy changes before they return to offices
More office cleaning, work from home opportunities, and staying home when sick among the desired adjustments.
Codes and Standards | Jun 12, 2020
Carbon emission legislation prompts commercial real estate to innovate
Mass timber, augmented reality, and modular construction among the trends.
Codes and Standards | Jun 11, 2020
USGBC offers new pilot credit to address green cleaning and COVID-19
Provides guidance on cleaning and disinfecting buildings using green cleaning best practices.
Codes and Standards | Jun 10, 2020
AIA issues tools for reducing risk of COVID-19 transmission in buildings
Tailored strategies offered for offices, retailers, schools, and senior living facilities.
Codes and Standards | Jun 8, 2020
OSHA construction safety inspections fall 84% during COVID-19 pandemic
Agency focuses on preventing disease transmission in healthcare industry.
Codes and Standards | Jun 8, 2020
5 must reads for the AEC industry today: June 8, 2020
Frank Lloyd Wright sites set to reopen and construction jobs rise by 464,000.
Codes and Standards | Jun 8, 2020
Reopened offices raise liability risk for businesses and owners
Risks may not be covered by property insurance.
