Study Finds Insurance Is Six Times Higher for Wood Frame Construction

A new study of the property insurance costs for wood frame and concrete multi-family residential buildings conducted by GLOBE Advisors and sponsored by the Concrete Council of Canada reveals a substantial gap in the risks and insurance rates between the two building systems. The data for the study "Insurance Costs for Mid-Rise Wood Frame and Concrete Residential Buildings" was drawn from relevant published literature and consultations with brokers, underwriters and property managers. Interviews with three underwriters and data from the Canadian Wood Council (CWC) show that builders' risk insurance rates per $100 monthly for comparable wood and concrete buildings are on average $0.008 for concrete and $0.053 for wood. (Download the Executive Summary and the full study.)

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