Green Home Insurance-the insurance of the future?

Georgia has just become the 26th state to offer specialty homeowners insurance for environmentally friendly homes. Previously, homeowners with green elements in their home (solar panels, geothermal heating, etc.) were not covered for these items. For example, if a green home was destroyed due to a fire, the insuring company would only provide replacement of standard systems (solar panels would be replaced with a basic water heater, etc.) Green building is more expensive because it requires special appliances, hard to find plumbing fixtures, etc. Officials from the Green Building Council say that this cost can be justified by most homeowners because they typically save about 30% on their utility bills.

Now, homeowners with green homes are able to purchase green home insurance that specially covers their green systems, appliances, etc. Even owners of traditional homes can purchase a green add-on to their policy so that in event that their home is ruined, the insurance company will pay for their home to be rebuilt as a green home.  Green homeowners insurance not only replaces the home with green systems, appliances, materials, etc., but it also covers the cost of hauling away construction waste to a recycling center as opposed to a junkyard. 

So is green home insurance the home insurance of the future?