Going green is becoming a gold standard in the construction industry. Now that we are seeing more smart buildings in commercial construction, builders, building owners, workers and insurers are dealing with new technologies and risks. Since it is new, it is hard to determine if smart buildings are better in the long run. The new technology in construction brings advantages in sustainability and safety, but it means more risks related to cost, delays, and materials. Smart buildings sound great, but there are some risks including:
- Introduction of untested building materials into the construction site
- Increased construction costs due to the new technologies
- Delays in building completion
- Cyber liability exposures
Just like a computer, a building can be hacked if it is a smart building. With these new smart technologies, someone can hack into a building system and shut it down since they depend on their own building systems rather than outside power, gas and energy. Since cyber liability exposures are a huge concern in smart construction, cyber liability insurance would be beneficial.
Speaking with a construction insurance professional can help you understand your risks and provide insight into the coverages needed to adequately protect your business. To learn more about our construction insurance services, visit AssuredPartners NL Construction.
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