Insurance Department Approves First-Ever Green Discount For Homeowners Insurance

Pennsylvania homeowners who are going "green" may be eligible for an insurance discount now that the Insurance Department has approved the first energy-efficient discount of its kind, according to Insurance Commissioner Joel Ario.

 

"Some insurers are taking an active role in promoting environmental awareness and taking advantage of growth opportunities in this emerging insurance market," Ario said. "This week we approved a 'green' discount filing by Donegal Insurance Group for homeowners who use solar energy or thermal heat pumps.

 

"We believe this is a trend-setting insurance option for those who are concerned about the environment and leading an eco-friendly lifestyle. Additionally, it makes risk-management sense because alternative energy sources keep homes operating when there is a power loss."

 

The Donegal policies, which go into effect May 1, offer the following "green" discounts:

 

-- Solar Energy Discount – a five percent discount applied to the policy premium for homes that use solar energy to generate electricity for use in the insured home or generate energy used for heating the home; and

 

-- Geothermal Heat Pump Discount – a five percent discount applied to the policy premium for homes where a geothermal heat pump is installed on or connected to the insured home. The system must meet "Energy Star" program requirements at the time of purchase.

 

Ario added that consumers have many choices when it comes to insuring their homes, so it is important to consider a broad range of factors when choosing a policy.

 

"There are almost 200 insurance companies offering homeowners coverage in Pennsylvania, so I encourage consumers to do some comparison shopping and find the company and the policy that is right for you."

 

Consumers with questions about choosing insurance coverage are invited to visit the department's website or call the toll-free, automated consumer hotline at 877-881-6388. They may also contact any of the department's Bureau of Consumer Services' regional offices: 717-787-2317, Harrisburg; 215-560-2630, Philadelphia; or 412-565-5020, Pittsburgh.