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Pa. approves insurance discount on green homes

March 20, 2009 3:56:48 PM PDT
A Pennsylvania insurance company will soon offer a home policy that features a discount for energy-efficient solar and geothermal systems. Donegal Insurance Group policies that take effect May 1 or after will offer a 5 percent discount on insurance for homes that use solar energy or a geothermal heat pump.

Pennsylvania Insurance Commissioner Joel Ario says it makes sense from a risk-management standpoint since these sources will keep operating even when electric power goes out.

The state Insurance Department announced its approval Thursday.

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