Hi,
I wouldn't clad over existing outside skin.
Do it properly, if it needs doing, replace the skin with new, and insulate with rockwool or similar while you have access.
My son took of his tired timber weather-boards and replaced them with a hardiplank product that looked similar but will never rot like the timber did.
With the outside skin off, it was obvious the window frames were rotting as well, so they were replaced with double glazed aluminium units.
Yep! it cost him money, but skinning over the existing structure would have possibly cost more in the long run, and now he has a neat trim job that he knows is sound and will never give him trouble for decades, and will not cause doubt and concern to potential buyers when he comes to sell.
cheers