Finding Insurance for ICF Homes

[Barney]

EDIT: Apologies. I just realized I posted this in the forum for Agents & Brokers. Please move to the correct forum.


I am working with an architect to design a home near the coast in Florida (several miles inland). I am considering ICF construction (Insulated Concrete Forms). Homes built of ICF have poured solid concrete walls. They are typically F5 tornado rated, fire resistant, quiet and energy efficient.

The up front construction costs are typically 6%-10% higher than typical concrete block (CMU) construction methods commonly used in Florida. But the savings are touted to be on the back side, in much lower energy bills and much lower homeowners insurance rates, due to the strength of the structure.

I reached out to my agent and asked if he's written any policies for ICF homes and if so, how have the rates compared? He replied, "The companies I go through have me rate it the same as a concrete block home!"

This seems ridiculous. I can only assume the companies my agent has access to are unaware of the benefits of ICF. It seems like charging the same rates for homes constructed of ICF is tantamount to ignoring the benefits of airbags, anti-lock brakes and other safety enhancements when quoting auto coverage.

My broker doesn't seem to be interested in pursuing this for me. Is there a way I can locate insurance companies who understand the benefits of ICF homes? It makes no sense to pay the same rates for a home that is considerably less likely to be damaged or destroyed by storms or fire.

Thank you.

 

[adjusterjack]

Is there a way I can locate insurance companies who understand the benefits of ICF homes?

There are three ways of buying insurance.

Online
Direct writers with local agents
Independent agents

You can shop around using all those methods.

It's not a matter of understanding the benefits of ICF homes. It's a matter of statistics, i.e. the number of ICF homes vs the number and cost of claims. The insurance industry compiles all that and will need sufficient numbers (likely in the millions) to warrant a new rate classification.

Until then, ICF is an outlier and will likely continue to be lumped in with masonry construction.

Don't blame your broker.

 

[marindependent]

I thought when I started reading your saga you were going to say that no one would insure it - but thats not the problem.

I often find that these more unique builds have no markets for them.

Best of Luck

 

[Policy Monkey]

Many standard carriers would classify ICF as "Unconventional Construction", like a log cabin or dome home. In that case, they would not accept ICF at all.

Keep in mind, everything sounds great in a sales pitch, but the industry doesn't have enough experience or real-world data to rate them as stronger than masonry (if they take them at all).