Final answer:
The best method for handling asbestos insulation on pipes is encapsulation, which covers the asbestos with a protective layer to prevent the release of fibers, making B. 'encapsulation' the correct choice.
Step-by-step explanation:
A property that contains asbestos insulation wrapped around pipes poses potential health risks due to the inhalation of asbestos fibers if they are disturbed and released into the air. The best method to address this issue in most cases is encapsulation, which involves covering the asbestos material with a protective barrier to prevent the release of fibers.
Complete removal of the insulation (option A) could be more dangerous and costly as it involves disturbing the asbestos, whereas replacement of the pipes (option C) does not address the existing asbestos wrapping. Installing a water filtering system (option D) would not remediate the presence of asbestos insulation.
Therefore, encapsulation is typically the preferred course of action provided that the asbestos insulation is not damaged and that the asbestos can be safely encapsulated without disturbance. Hence, B » encapsulation is the correct option in the final answer.