The time has come where we can no longer ignore the effects we have on our environment. Seasons have become interchangeable, ice caps are melting at rapid speeds, natural disasters are occurring all over the world at alarming rates and the quality of the air we’re breathing shows rapid decline. That is why many home owners are opting for a much more environmentally friendly or “green” alternative when it comes to constructing their homes.
Now the question remains; how does this impact you when it comes to your home insurance?
Firstly, it’s important to mention that most insurance companies are backing innovative and environ-conscious efforts. Some offer specialised “green” insurance that can even cover certain species of plant life, others donate a certain amount of your insurance premiums to eco-friendly causes and others even foot the bill for more eco-friendly replacement options such as geysers.
When it comes to building a “green” home, most insurance companies will be able to cover you comprehensively as long as:
- The construction is deemed suitable for living in
- The construction has been approved by your local authorities (water, electricity etc…)
If you are able to tick these two boxes, you will be able to apply for home and building insurance. It is important to note that although your “green” lifestyle will be covered by most insurers, it might affect your premiums due to normal risk assessment. These are a few factors to consider:
- Location, location, location
Geography plays a big role in eco-friendly construction. Is your “green” dream home suitable to be built on the location you’ve chosen? This can include things like the local climate, the landscape as well as the geology of the site.
- Your building materials
When it comes to certain natural building materials such as straw and timber, it might be more eco-friendly, but raises some risk concerns such as being fire hazards. Try to minimise your risk profile when choosing the materials you want to use in your construction.
Living more environmentally friendly is absolutely vital for the future of our planet and all of us living here. Any efforts to play an active part in conserving and protecting our natural environment are encouraged. If you are planning on constructing an eco-friendly home and need more information on the insurance options available to you, you are welcome to contact us here.