Construction is big business around the world, but it’s particularly impactful on the United States economy.
In America alone, construction employs eight million people representing nearly one million businesses, producing an average of $2 trillion worth of buildings every single year. Since May 2023, the Associated General Contractors of America report that 39 of 50 U.S. states have seen a growth in construction employment and many experts remain bullish on the future of construction job growth.
Why? Because construction demand remains high. AGCA’s second quarter report revealed that virtually every segment of construction has grown; residential, commercial, infrastructure and more – all with year-over-year growth from this time in 2023.
Demand for new buildings has brought another change within the construction industry, and that’s sustainability. Over the last several years, every aspect of construction from excavation and grading, materials, surveying and more has introduced some degree of sustainable practices, and what’s been found is another reason for optimism around the industry.
These practices are leading to more efficient work, an ability to take on more jobs, less waste, resource conservation and (perhaps most important to construction clients) decreased costs.
The construction industry’s eco-friendly present and future
Let’s make one thing clear: sustainability isn’t a novelty in construction. It has become widely adopted and the benefits are both wide-ranging and undeniable.
According to the Environmental Protection Agency (EPA), sustainable construction is ““the practice of creating structures and using processes that are environmentally responsible and resource-efficient throughout a building’s lifecycle, from siting to design, construction, operation, maintenance, renovation and deconstruction.”
For generations, construction’s impact was felt on the environment in many ways. New buildings replaced thriving ecosystems, wastewater runoff was a secondary consideration and trees were removed as a commonplace part of site preparation. To combat the effects of climate change and to meet the demand of a rapidly-growing population (particularly in urban centers), the construction industry faced a serious question.
How do we keep building and also protect the planet and its resources, while being more efficient in all facets of the construction process? This led to the implementation of sustainable business practices across the industry, and it’s resulted in significant gains.
The sustainable practices making a big impact on jobsites
To keep growing the construction industry and create the buildings necessary for continued population growth, energy efficiency is paramount. Some agencies estimate that construction of new buildings is responsible for nearly 40 percent of energy-related emissions.
Sustainability combats climate change and keeps cost down, which then allows construction businesses to take on more projects. More resources, more efficiency, lower costs…everyone’s happy.
One key takeaway: sustainability in construction is an all-hands-on-deck effort, requiring the collaboration of everyone involved in the project from the planning stages all the way through to execution of the work.
Here are some of the ways the construction industry has embraced sustainability with likely more innovations on the horizon.
Use of eco-friendly materials
This is perhaps one of the most exciting – and captivating – sustainable practices in construction. On some jobsites, we’ve seen the use of entire trees to provide structural support and stability, rather than removing them as part of the planning process.
There are sustainable alternatives to traditional concrete being used around the world, too: geopolymer concrete has a carbon footprint of approximately 10% of regular concrete. Ferrock concrete (named for ferrous rock) is a carbon-negative alternative and hempcrete is a newer entry into the picture.
Using a combination of more thoughtful design, recyclable materials and energy-efficient manufacturing, these sustainable materials are now in regular use on jobsites everywhere.
Increased waste management and recycling
Waste management has become more sustainable as hauling equipment – i.e., the vehicles used to transport trash and waste from work sites – becomes more eco-friendly and effective. Several years ago, a commercial or residential job may have required multiple vehicles to remove waste, and due to time and labor constraints, much of that waste wasn’t able to be separated into garbage and recyclable materials. Today’s haulers can almost all waste to its proper destination in one trip, reducing costs and making the waste management process more sustainable.
Energy-efficient building practices
Energy consumption is on the mind in multiple ways during construction. First, it’s about being more efficient during the building process and on top of that, creating a building that is energy responsible for years down the road.
This involves reliable and eco-friendly HVAC systems, solar panels as an energy source, proper insulation (to reduce the burden on HVAC) and even design. The way a building is positioned in relation to the sun will affect how much energy it needs to be temperature-regulated, especially with the positioning of windows and doors.
Introduction of water conservation methods
Water efficiency starts at the very beginning of construction, from material manufacturing through building (and further, when the building is occupied and in use). Some countries are looking at regulations to reduce water consumption during construction, but the construction industry is also implementing sustainable ways to build.
Replacing baths with showers, strategic rainwater collection methods and even eco-friendly toilets (dual flush has proven to be the most sustainable model) are helping to reduce water waste.
Lean manufacturing and construction practices
Lean construction is all about working smarter and maximizing resources. It’s about involving everyone early on so that projects stay on schedule and reworking is minimal. Autodesk found that lean construction resulted in 84 percent higher-quality construction and 77 percent higher efficiency.
These sustainable practices are gaining momentum around the world, particularly in the U.K. and U.S. where efficiency is a priority and sustainability is paramount.
SitePro is a competitive advantage for brokers and their construction clients
To execute on these critical objectives and continue advancing the construction industry, your clients can’t afford to have run-of-the-mill insurance protecting them.
They need coverage that’s tailored to their work, and protects what’s most important: the employees and the business. It’s construction after all and accidents happen, and SitePro is the most trusted insurance partner for construction clients.
Whether it’s heavy equipment coverage, OSHA compliance, or construction risk management, SitePro allows contractors the freedom to focus on what’s most important (also, not dealing with insurance when other matters are pressing).
Unmatched experience
SitePro’s team of insurance experts knows the construction business inside and out. With more than 35 years of experience, they know exactly which coverages your clients need.
Specialized coverages
SitePro offers clients custom coverages that aren’t typically available through larger carriers.
Industry expertise
Proper coverage requires attention to detail and industry knowledge. SitePro’s team conducts a proper valuation of your client’s operations, property and equipment and offers best-in-class risk control services.
Grow your client portfolio with the trusted expertise of SitePro
SitePro is better construction insurance by design. It’s the largest program of its kind and rated “A+” by A.M. Best, which gives your clients both the peace of mind and confidence to continue growing their business and creating a more sustainable industry.
To learn more about coverage options and how SitePro can help your clients, contact a member of our team by submitting a request for information to submissions@nipgroup.com, or make a phone call to 866-780-8076.
