How the Fire District affects your insurance rates

Property Insurance Association of Louisiana Fire Rating Information.

The PIAL Evaluation Process

Virtually all insurance companies in Louisiana use the Public Insurance Association of Louisiana (PIAL) Public Protection Classification (PPC) for marketing, underwriting, and pricing homeowners and commercial property insurance. A PPC from 1 to 10 is assigned to each fire department called a “Class”. Class 1 represents exemplary fire protection; while a Class 10 indicates that the area's fire-suppression program does not meet the PIAL minimum criteria. In general, homeowners and businesses in the community often save money on insurance premiums with a lower PPC.

To determine a community's class, PIAL conducts a field survey evaluating communities according to a uniform set of criteria, incorporating nationally recognized standards developed by the National Fire Protection Association and the American Water Works Association. After completing the field survey, PIAL analyzes the data and calculates the class rating.

Using a manual called the Fire Suppression Rating Schedule; PIAL objectively evaluate three major areas:

Fire alarm and communications systems
A review of the fire alarm system accounts for 10% of the total classification. The review focuses on the community's facilities and support for handling and dispatching fire alarms evaluating telephone systems, telephone lines, staffing, and dispatching systems.
Fire department
A review of the fire department accounts for 50% of the total classification. PIAL focuses on a fire department's first-alarm response and initial attack to minimize potential loss. Items such as engine companies, ladder or service companies, distribution of fire stations and fire companies, equipment carried on apparatus, pumping capacity, reserve apparatus, department personnel, and training are evaluated.
Water supply
A review of the water-supply system accounts for 40% of the total classification. PIAL reviews the water supply a community uses to determine the adequacy for fire-suppression purposes. Also considered are hydrant size, type, and installation, as well as the inspection frequency and condition of fire hydrants.

The Advantages of the PIAL Evaluation

Provides a useful benchmark which helps measure the effectiveness during emergency situations involving fire
Used as a guide for making improvements to the fire service for the community
For justifying expenditures and improvements to the department
Justifying the need for building a new fire station
Determining the location of a new station
Sets priorities for buying or upgrading equipment
Gives guidelines for increasing staff or training of staff
Helps pinpoint how investments should help reduce insurance costs

The following is a class breakdown of the 46,220 departments throughout the U.S.

Facts:

Every 19 seconds, a fire department somewhere in the United States responds to a fire.
Fire is the largest single cause of property loss in the United States.
In the last decade, fires have caused direct losses of more than $120 billion and countless billions more in related costs.
Every year, more than 3,000 Americans die in building fires, while more than 20,000 people are injured.
And each year, fire kills more Americans than all natural disasters combined.

New Iberia, LA. 70560 • 337-365-5872 • info@ipfpd.com