Multilayered exterior wall systems designed to provide high energy efficiency
in both residential and commercial buildings. Typically, an EIFS system
includes insulation board that is secured to the exterior wall surface with a
specially formulated adhesive, a water-resistant base coat that is applied on
top of the insulation, and a finish coat. EIFS gained attention from the
insurance industry when claims began to arise alleging damages caused by
moisture. This resulted in liability claims against contractors and the
manufacturers of EIFS. Additionally, a considerable number of first-party
claims have been brought under homeowners policies. Insurers have attempted to
limit their exposure with exclusions or by refusing to insure risks with a
substantial exposure (e.g., EIFS homes or contractors that install EIFS).