Lexington Insurance Company, a member company of American International Group, has introduced Upgrade to Green Residential, an insurance coverage allowing US homeowner policyholders to rebuild their property to green standards following a covered loss.

The company said that Upgrade to Green responds whether the insured home suffers a partial or a total loss from a covered event and extends coverage beyond the basic replacement value afforded by standard homeowners insurance policies. In the event of a covered partial loss to the insured property, the policy pays for the insured to purchase products and materials and make repairs to adopt Energy Star or equivalent levels of energy efficiency.

The company stated that if an insured home requires complete rebuilding due to a covered event, the policy will pay to reconstruct the home in accordance with an Energy Star Builder Option Package, which provides climate zone-specific construction specifications enabling the home’s energy performance to qualify for the Energy Star label.

David Valzania, vice president for personal lines at Lexington Insurance Company, said: Upgrade To Green Residential allows homeowners to rebuild damaged homes using energy efficient and environmentally friendly products.