Alarming The Insurance Company The perspective from the Risk Insurance Industry; The most common problems we see, and recommendations to overcome them. Presented by: Nicole LeBlanc

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 2 Alarming The Insurance Company The Inspection Process Insurability Common Problems and Recommendations

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 3 The Inspection Process Types of Occupancies We See Types of Occupancies Where We See Fire Alarms Types of Occupancies Where We Require Fire Alarms

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 4 Types of Occupancies We See Commercial properties Three main areas of focus: fire, crime, liability “Jack of all trades”

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 5 Types of Occupancies Where We See Fire Alarms Habitational Assembly Do NOT typically see in: Retail/Mercantile Manufacturing (unless sprinklered)

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 6 Types of Occupancies Where We Ask For Fire Alarms Life Safety − Habitational − Restaurants with apartments above (suppression system tied in to alarm panel) Property − Water damage in sprinklered buildings (look for alarms on pressure, flow and gate) − High valued stock

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 7 Insurability The “soft sell” approach AHJ for insurance purposes only Can be tied to rating depending on insurer

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 8 Rating Sample (Illustrates the Weakness of the Insurance Industry in Understanding Fire Alarms) Requirements − Detectors installed throughout entire building in accordance with NFPA standards − Alarm signals are transmitted in a reliable manner − System is inspected semi-annually by a reliable service organization − Detectors and transmitters are listed and receiving equipment either listed or capable of operating in a satisfactory manner. (A listed central station is acceptable.) − Duplicate power supplies and circuit supervision are provided in accordance with NFPA standards Full Protection (system fully in accord with NFPA standards) – 20% Partial Protection (system not fully in compliance with NFPA standards) – 10% * For buildings classified as sprinklered multiply these credits by 0.50

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 9 Common Problems Seen By Insurance Inspectors And What We Can Recommend

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 10 Common Problems Seen by Insurance Inspectors and What We Can Recommend Problem: Absence of alarm protection where required Solution: Contact a reputable fire alarm company to have a CFAA or ECAO licensed technician install alarm protection in accordance with the OBC and CAN/ULC- S524

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 11 Common Problems Seen by Insurance Inspectors and What We Can Recommend Problem: System not maintained Solution: Contact a reputable fire alarm company to schedule annual servicing in accordance with OFC and CAN/ULC –S536

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 12 Common Problems Seen by Insurance Inspectors and What We Can Recommend Problem: No sticker on the panel, sticker out of date, company no longer in business, or multiple stickers with no clear indication as to who is maintaining. Solution: Request copy of the CAN/ULC -S536 inspection report.

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 13 Common Problems Seen by Insurance Inspectors and What We Can Recommend Problem: Customer does not have, or can not locate a copy of the last inspection report. Solution: Co-ordinate with the customer, co-operate with insurers requesting copies of reports/information. Lack of compliance to produce report = recommendation. Non-compliance of recommendation = cancellation.

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 14 Common Problems Seen by Insurance Inspectors and What We Can Recommend Problem: Lack of communication between customer, alarm company, and insurer. Solution: Develop and strengthen insurance and contractor relationships.

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 15 Common Problems Seen by Insurance Inspectors and What We Can Recommend Problem: Battery operated smoke detectors Solution: Hardwired detectors.

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 16 Common Problems Seen by Insurance Inspectors and What We Can Recommend Problem: Speaker system that is tampered with in residential apartments. Solution: Silence function.

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 17 Common Problems Seen by Insurance Inspectors and What We Can Recommend Problem: System only sounds locally, where insurance requires monitoring. Solution: Supervision/Connection to a ULC listed monitoring station.

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 18 Common Problems Seen by Insurance Inspectors and What We Can Recommend Problem: System is monitored by a non-ULC listed supervisory station. Solution: Use of a ULC listed supervisory station in accordance with CAN/ULC-S561 as required by OBC.

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 19 Common Problems Seen by Insurance Inspectors and What We Can Recommend Problem: Limited number of enforcement agencies − Fire Inspectors (OFM, municipal fire services) − Insurance Inspectors − Fire alarm technicians

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 20 Common Problems Seen by Insurance Inspectors and What We Can Recommend Problem: We don’t know what we don’t know Solution: More education for the insurance industry on fire alarm systems.

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 21 Common Problems Seen by Insurance Inspectors and What We Can Recommend Problem: Fire alarm technician, insurance inspector and OFM disagree. Solution: Consistency would be ideal and generally our recommendations do support each other however where a system may be otherwise grandfathered insurers have the right to request upgrades/retrofits for insurability purposes.

RGB= 135,178,183 RGB= 76,115,156 Do not put content on the brand signature area Red RGB= 198,12,48 Blue RGB= 0,179,190 RGB= 187,189,191 Intact primary colors Guidelines RGB= 249,164,182 RGB= 124,155,92 RGB= 190,231,137 RGB= 172,48,107 RGB= 219,196,195 RGB= 154,127,152 RGB= 166,215,246 RGB= 182,251,235 RGB= 214,166,91 Intact secondary colors 22 Alarming The Insurance Industry Questions?