Expanded polystyrene cladding – know the potential insurance risks

State: All States.

Statement from Webber Insurance:

DMN have had reports that some insurance companies view EPS unfavourably and may refuse cover or charge higher premiums for building insurance.

Investigations and reports appear to express concern regarding the safety of this type of construction material in terms of combustibility and fire risk.

VBA reports explain further

• Learn more about ACP and EPS | Victorian Building Authority (vba.vic.gov.au)
• Rendered-expanded-polystyrene-clad-wall-system-AS-5113-external-wall-fire-spread-test.pdf (www.vic.gov.au)

Recommendation for Members:

In instances where EPS type cladding is under consideration as a construction material, it would be advisable to direct clients and consumers to their own insurer or adviser to understand the implications certain materials may have on their home/building insurance coverage.