From classrooms to cafeterias, the spaces where students learn and grow are just as important as the subjects taught. And yet, nearly 40% of schools across the U.S. are more than 55 years old and need new critical systems upgrades like heating, air conditioning and ventilation.1
The aging infrastructure in school buildings, as well as colleges and universities, affects more than just student learning. It can lead to higher insurance premiums, stricter terms, coverage limitations and an increased claims frequency.
“Schools often struggle to keep up with maintenance costs, much less any sort of significant renovation,” says Ali Whitten, education and healthcare industry practice lead at The Hartford. “If left ignored, outdated systems can mean a higher risk of property damage, mold and system failures.”
Top Risks for Aging Schools
Infrastructure ages for a variety of reasons, such as weather, corrosion, thermal stresses, rodents and just plain wear and tear. And while many systems deteriorate over time, certain categories consistently present the highest loss potential, including the strongest correlation to rising insurance premiums and claims frequency.
- Roofing Systems: Deferring necessary replacement or repeated patching can lead to structural problems and water intrusion that damage interior property and cause mold growth.2
- HVAC and Boiler/Mechanical Systems: Specialists recommend updating systems once they reach a 20-year lifespan. Corrosion, lack of preventative maintenance and the amount of usage will typically determine the health of these systems. Air quality is important to consider, and upgrading systems to energy-efficient models may save money in the long run.
- Electrical Systems: Loose connections, older, oil-filled transformers and undersized panels can lead to fires from arcing and overload in electrical systems. It’s critical to modernize and make code-driven upgrades that keep pace with technology-heavy classrooms.
- Plumbing and Pipe Systems: Contamination and leakage are top concerns for schools with outdated plumbing like lead, galvanized steel or deteriorating copper. Aging cast iron drainage systems can lead to water intrusion and foundation damage.
Smart Investments
Across the U.S., school budgets are stretched. The difference between what schools should be spending on their facilities and what is needed is more than $85 billion.3 It’s estimated that colleges and universities need to spend more than $750 billion in deferred maintenance and infrastructure needs over the next ten years.4
“Boilers aren’t flashy investments like innovation labs,” says Whitten. “However, it’s important to remember that schools have a duty to provide a safe and secure environment for students and staff.”
Building codes and state and federal regulations may necessitate modernization. How well a school cares for its buildings affects insurance coverage, as insurers expect adherence to industry codes and standards for design, construction and maintenance.
“On-site risk engineering surveys provide another set of eyes to help detect and report conditions,” says Dave Gouker, senior managing director of risk engineering at The Hartford. “Risk engineering consultants can review systems and make recommendations for risk mitigation, including the use of IoT devices such as water sensors to complement a water damage prevention program and help minimize loss.”
Additional strategies for maintenance and improvement include:
- Phase in replacement strategies to keep schools operational while making improvements. These could include wing-by-wing HVAC replacement, temporary heating, cooling and water systems, as well as night or weekend pipe tie-ins.
- Research opportunities for public health funding for air quality enhancements or grants that support energy efficiency upgrades for solar, HVAC and filtration systems.
- Summer closures to complete repair and replacement plans for large-scale improvements.
- Risk engineering programs to address water damage prevention, worker safety and industrial hygiene hazards.
- Capital planning alignment to maximize the efficiency, effectiveness and safety of facilities.
Risk Mitigation Planning
Support for infrastructure maintenance and improvements can be difficult to attain for schools and other educational institutions because it’s expensive. But the long-term cost of ignoring necessary upgrades can be significant as well. A single property damage incident or lawsuit from an accidental injury could put a school at financial risk.
“A trusted insurance partner enables institutions to navigate unexpected events and make smarter, long-term facilities planning decisions,” says Whitten.
For example, if a severe weather event damages an aging roof and causes a water leak in a classroom, property insurance can help cover the physical damage. But the claims process can highlight the contributing factors, such as deferred maintenance, that facility leaders can use to inform future priorities.
Yearly valuations can also aid in facilities planning. Essential for any school property, a thorough and honest reporting of the size, age, construction materials and other unique features helps agents and carriers determine appropriate insurance coverage and reveals necessary risk mitigation measures.
Modernization for Future Success
The maintenance and modernization of educational facilities benefit everyone, as schools often function as centers of the community for voting, public events and more. Carriers that are knowledgeable in risk engineering services can advise educational institutions on how to identify and reduce risk, while helping to protect them and the communities they serve from unexpected challenges.
“School administrators juggle many issues and budgets, so building maintenance may not be the thing that keeps them up at night,” says Whitten. “But a facilities risk that is ignored today could lead to a preventable claim tomorrow. We can offer schools mitigation strategies to detect and fix problems before they become hazards for staff, students and the public.”
Learn more about The Hartford’s insurance solutions for educational institutions.
1 American Society of Civil Engineers, “2025 Report Card for America’s Infrastructure,” viewed March 2026.
2 Environmental Health and Safety University of Florida, “Guidelines To Address Water Intrusion Problems,” viewed March 2026.
3 21st Century School Fund, “2025 State of Our Schools Report,” viewed March 2026.
4 Higher Ed Dive, “A ‘Hidden Liability’: Colleges Face Up to $950B in Capital Needs, Moody’s says,” viewed March 2026.
