Insurance Discounts for Green Homes

January 05, 2010

There are two types of green insurance policies for homeowners. One covers buildings that already meet stringent efficiency and sustainability standards. The other offers the option to replace any losses incurred on the property with more environmentally sensitive materials.

Fireman’s Fund Insurance Co. of Novato, Calif., was one of the first companies to introduce homeowners policies that feed into consumer desire to make homes more energy-efficient and environmentally sustainable. For people who already own LEED-certified homes, Fireman’s offers a 5-percent discount off regular annual insurance premiums.  For people who don’t own green-certified properties, several insurers are introducing an option that allows homeowners to replace any property losses with more eco-friendly options. Farmers Insurance of Los Angeles recently introduced an option it calls “Eco-Rebuild” that will replace damaged properties with more environmentally conscious materials.

This option is available as an addition — or endorsement in insurance lingo — to a regular homeowner’s policy for $25 or 2 percent of the annual premium, whichever is more. In the event of a covered loss, the Eco-Rebuild endorsement means Farmers will pay extra to replace your old kilowatt-hungry appliances with Energy-Star devices and recycle debris, rather than send destroyed materials straight to a landfill.
More information at http://www.bankrate.com

About The Author

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Jason La Fleur is the Chair of the USGBC Illinois chapter's Residential Green Building Committee, and is a Project Manager for the Alliance for Environmental Sustainability. He is a member of the national US Green Building Council (USGBC) Education Committee, and assisted with creating the education standards for LEED AP continuing education. Jason is also the chair of the Education Committee for the Illinois Solar Energy Association, and an instructor for the organization. For six years, he developed courses for real estate appraisers and led the Appraisal Institute's Green Building Project Team, working with sustainability-minded real estate professionals. Additionally, he is actively involved in residential green building and the LEED for Homes program in the Chicago region. Jason holds a Master’s in Education from the University of Illinois, and has over ten years of project management and curriculum development experience. Further dedication to sustainability is demonstrated in his LEED Accredited Professional designation.

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