UNDERSTAND YOUR INSURANCE PREMIUMS
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:
The Advantages of the PIAL Evaluation
Facts:
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
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.
Chief’s Overview
Recent development has Scott experiencing extraordinary residential and commercial growth. However, new construction, increasing population, and expanding economic activity place demands on a wide variety of municipal services, including fire protection. If our fire department, emergency communications facilities, and water supply can't keep up with demand, our growing community faces increasing risk of property loss and injuries, as well as increasing fire premiums.
Our Department has made many changes in recent years to facilitate a Class 3 rating. However, without careful attention, long-term planning, and adequate funding, we risk deterioration of the current fire rating, especially in fast-growing areas.
Having a class 3 fire rating is often a selling point used when annexing unincorporated areas, saving homeowners hundreds if not thousands on insurance premiums. However, new fire stations, improved water supplies, increased training, and all the other necessary improvements come at a high cost. In this era of tight municipal budgets, obtaining the necessary funding is a significant obstacle to making the needed improvements. Being only .15th of a point away from a Class 4 Rating, it is imperative that all of the necessary steps are taken to remain a Class 3.
Chief Chad P. Sonnier
Scott Fire Department
PO Box 306
Scott LA. 70583
[email protected]
Our Department has made many changes in recent years to facilitate a Class 3 rating. However, without careful attention, long-term planning, and adequate funding, we risk deterioration of the current fire rating, especially in fast-growing areas.
Having a class 3 fire rating is often a selling point used when annexing unincorporated areas, saving homeowners hundreds if not thousands on insurance premiums. However, new fire stations, improved water supplies, increased training, and all the other necessary improvements come at a high cost. In this era of tight municipal budgets, obtaining the necessary funding is a significant obstacle to making the needed improvements. Being only .15th of a point away from a Class 4 Rating, it is imperative that all of the necessary steps are taken to remain a Class 3.
Chief Chad P. Sonnier
Scott Fire Department
PO Box 306
Scott LA. 70583
[email protected]
