Hazards in a fire situation
Most major companies describe fire as one of the greatest threats they face.
The threats can take on many guises. For example:
- Just-in-time production schedules are sensitive to all kinds of interference to your own production or the production of subcontractors.
- Computer disruption. Manual operation is often not an option.
- Loss of buildings, machines and materials.
- Loss of specialised equipment that has been built and improved over many decades.
- Loss of key staff and expertise. Risk that staff feel insecure and therefore leave the company if operations are down for a long time.
- Lost revenues.
- Lost customers, loss of reputation and loss of market share.
- Unforeseen and secondary costs.
- Excessive costs for insurance coverage.
Those responsible must develop a plan for inspecting the building and ensure its implementation. You must be able to ensure that both current fire requirements and the interests of the property owner, such as a low purchase price, are satisfied. Regrettably, this type of conflict of interests can lead to compromising fire safety.
Fire insurance to ensure value
Fire insurance can be taken out for buildings, machinery and materials, and for lost revenue due to downtime.
Fire insurance can be a significant part of the operating costs of a building. All insurance companies agree that non-combustible materials – such as flat roofs and walls – mean a lower risk, which justifies lower insurance costs compared to roofs with combustible materials.
The insurance companies are free to set their premium levels based on, among other things, operations, type of building and location, risk factors in production, the risk of fire spreading from adjacent buildings, their own indemnification statistics and a number of market-related factors. Technical price reductions of premiums are also possible if there are fire alarms, sprinklers and internal fire-fighting devices installed.