Understand Non Weather Water and Fire Risk
So how can property insurers close the gap on pricing water and fire risk NOT caused by Mother Nature?
So how can property insurers close the gap on pricing water and fire risk NOT caused by Mother Nature? Fill out the form on your right to find out how we can give you granular insights into your portfolio’s risk of water and fire damage NOT attributed to natural hazards.
The Risk of a Fire Starting
According to a Fire Statistics Fact Sheet published by the National Fire Protection Association, 84 percent of home structure fires result from malfunctions of either cooling, heating, electrical and lighting systems or fixtures, are intentionally set, or involve smoking, candles, or cooking accidents. In fact, lightning and wildfires cause only 16 percent of fire damage to structures.
Plumbing Failures; A Leading Source of Water Losses
According to a recent of insurance carrier loss data, non-weather-related water damage accounts for approximately *20 percent of all homeowner insurance losses nationwide.
However, water damage risk models that score the risk of potential damage to a structure from events such as appliance failures, air conditioning leaks and even overflowing bathtubs had been unavailable to the insurance industry - until now.
It’s All in The Science
A successful solution to the problem of non-water and non-fire-related loss must have nationwide coverage, be localized and extremely granular and contain millions of records of practical, measurable data. These risk models should assess the interaction of all elements to predict the probability and magnitude of potential damage to a structure from fire and water mishaps.
* Source: Location, Inc.’s analysis of insurance carrier loss data, corroborated by third-party industry data from the Insurance Journal and the Insurance Information Institute. Losses = $41.2B net of Reinsurance