The great quantities of raw materials used in the construction sector, involve high energy consumption in their production resulting to a high energy use in this sector. One of the ways to improve the energy efficiency of buildings is through the use of more environmentally friendly materials such as forest-based materials. In the present study, the environmental impacts associated with the production of expanded cork slab and granules used in construction for insulation are evaluated from a life cycle perspective with the aim of identifying the most influential stages and processes. The obtained results show that the process with the greatest environmental impact derives from the boiler process due to the production of thermal energy used for the agglomeration of the slabs and also the production of falca used as raw material at the manufacturing process. It was also observed that the choice of mass or economic allocation has a significant impact on the results. The present study also considered the accounting of biogenic carbon in the climate change impact category which is usually considered neutral and excluded. The final results of climate change were recalculated by applying the International Reference Life Cycle Data System method for the stages of the forest, use and end-of-life. The consideration of biogenic carbon sequestration at the forest influenced significantly the environmental impact of the two products under study. The present study shows the importance of biogenic carbon inclusion in the environmental assessment of forest-based products. Additionally, the obtained results highlight the need for establishment of a common methodology for the calculation of the environmental impacts of cork products in order to apply common guidelines and facilitate the comparison of the obtained results.