Over the past several months, I have spent time evaluating the EIFS insurance market. I’ve talked to contractors, distributors, underwriters, risk managers, brokers and insurance executives. The consensus is that EIFS insurance is available but can be accompanied by varying degrees of confusion.
Most applicators and distributors can get insurance with little trouble if they have the right broker. Owners and general contractors might find it a little more difficult unless they are talking to the appropriate people. Over the past fifteen years, EIFS insurance has gone from being very difficult to obtain to relatively easy to acquire. At the same time, the cost has also moved from very expensive to very reasonable. Why the change? Well, the main reason is there are virtually no claims against EIFS. In 2016, the EIMA manufacturing members reported that only three litigation claims were filed compared to hundreds of EIFS claims in 2000.