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
| May 3, 2012
Green-roof requirement now includes industrial facilities in Toronto
A mandate that requires installation of green roofs on new commercial and residential buildings in Toronto has been expanded to include industrial facilities.
| May 3, 2012
Innovative wastewater treatment helps achieve LEED rating
LEED for New Construction, Neighborhood Development and the LEED Volume Program offer some ways to achieve LEED points when dealing with wastewater treatment.
| Apr 26, 2012
Lack of bolts on steel support caused collapse at Cincinnati casino
Too few bolts connecting horizontal steel support beams with vertical steel columns was the cause of January’s construction accident at Horseshoe Casino Cincinnati, according to the report of the Occupational Safety and Health Administration.
| Apr 26, 2012
OSHA criticized for taking too long to roll out safety rules
The Occupational Safety and Health Administration takes far too long to adopt new safety regulations compared to other agencies’ development of rules, safety experts said during a Senate hearing.
| Apr 26, 2012
Contractors fear that GSA scandal will lead to fewer federal construction contracts
In the wake of the recent scandal at the General Services Administration in which workers spent lavishly at a Las Vegas conference, a spokesman for Associated General Contractors of America said contractors are worried the scandal will result in cuts to GSA's construction and renovation budgets.
| Apr 26, 2012
Developers can use LEED wastewater credits to help gain approvals in environmentally sensitive locales
Those wanting to pursue development in heavily regulated and environmentally sensitive areas are benefiting by designing projects that qualify for LEED points, even if the project as a whole does not achieve certification.
| Apr 26, 2012
New York City Council moves to license elevator mechanics
New York’s City Council introduced a measure last week that would require the city’s 7,000 elevator mechanics to meet national standards and be licensed by the city.
| Apr 23, 2012
AAMA releases updated specification for anodized aluminum
AAMA 611-12 describes test procedures and requirements for high performance (Class I) and commercial (Class II) architectural quality aluminum oxide coatings applied to aluminum extrusions and panels for architectural products.
