Yes, new cladding can be placed over asbestos cladding without removing it. However, care must be taken not to create asbestos dust while doing this, as could happen if a hole were drilled into it. In addition, for future reference and the safety of future construction workers, a means must be provided to ensure that knowledge of the covered asbestos is preserved and is communicated to anyone working on the cladding who might disturbe that material. Proper installtion of such a covering is best done by a crew experienced with asbestos protection methods. In some jurisdictions, certified asbestos workers may be required.
What is written above is correct, although may not completely answer the question if you have asbestos siding on your home and you would like to remove and/or cover it up. My suggestion is not to cover it up as you will definitely be causing more issues in the long run. If you have a standard asbestos siding they are between a 1 foot by 2 feet. These are not made of asbestos entirely (Mostly cement) and will not produce air born particles unless it is sanded, cut, drilled, or cracked. You must always take caution and beware of state or provincial law in your area if you begin to remove this siding units. They are normally nailed and they usually pop right off the wall as homewrap was not used at the time and the board and/or planks often are extremely dry or extremely damp and the nails usually pull right out. You should were a P100 mask at all times and a tyvek type suit. I do not recommend doing this on your own although you can if you take the proper percautions. Be careful and do not rush or begin the job until you are ready and prepared. Drapping a home will only be necessary if you have vermiculite asbestos insulation to remove as this is very hazardous and will require a pro team to take care of this. They have specialty vacuums and specialty filters.
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