U K Fire Losses hit 1.3 billion

The cost of fire damage in the UK was a record £1.3bn, according to new figures from the Association of British Insurers (ABI). Commercial business insurance fire damage cost £865m, up 15% on the previous year and fire damage to homes cost £408m, up 17% on the previous year.

School fires alone cost £33m with there being at least 1 serious school fire per month.

There has been a particular increase in what are termed large loss fires (those over £500,000) and the ABI says it is researching the causes of this increase. While it says that both fraudulent arson and arson generally are factors it is not ruling out other factors such as modern materials used in construction.

The ABI have expressed serious concern over the figures stating they highlight the importance of risk management, fire insurance, and reducing and managing the fire risk.

Meanwhile the Regulatory Reform (Fire Safety) Order has just received its first official review from the Communities and Local Government department.

The general picture from this early snapshot from both enforcers and responsible persons is that the Order is bedding in well and there are many positives to take from this. The report states that all parties tend to think that the risk assessment approach is the correct one and are embracing it to a greater or lesser degree.

But the report concedes there are some areas which could benefit from further action. These include:

• raising awareness of the requirements of the Order
• consideration of more tailored advice to ‘responsible persons’
• clarification of who a ‘responsible person’ is
• clarification of who may have an appropriate level of fire safety expertise to assist with delivering compliance with the order
• ensuring fire and rescue authorities continue to take a supportive and educational approach to compliance

For more information on risk management and fire regulations, please visit http://www.alanboswell.com/