Insurance options for green businesses
Green endorsements for commercial property insurance
Traditional commercial property insurance covers replacement or repair of damaged property, using similar materials to the original construction, or basing repayment on the value of the original equipment or building. But what if you want to go green when repairing or replacing insured property or equipment? Most standard policies will not account for this scenario, unless the policy has wording that specifically recognizes and covers the increased cost of green materials.
Green insurance continues to change
Building green means a smaller carbon footprint and higher energy efficiency, but an added benefit is improved safety and resilience to withstand windstorms and other weather-related events.
While green endorsements on a commercial policy may cost more, having a green building in conjunction with improved building codes (which enforces impact-resistant windows, hurricane shutters, reinforced doors and roof straps) could ultimately protect your property from being badly damaged or destroyed in a future weather-related disaster.
Your business may also be able to save on insurance as a result of other green initiatives. For instance, some auto insurers have begun to offer personal auto insurance discounts for hybrid and electric cars.