Getting the Proper Credit: Information ISO Needs to Evaluate an Automatic Sprinkler System

As an underwriter or loss control representative, you want to make sure that your commercial risks are rated properly and getting full credit for automatic sprinkler systems. But a sprinkler system that works as it should is important for more reasons than just the insurance rating — sprinklers prevent extensive property damage.

According to the National Fire Protection Association (NFPA), when sprinklers are present and working well, the risk of insured loss is lower than in an unsprinklered building. The average property loss per fire is one-half to two-thirds lower with sprinklers. Visit the NFPA website to get more facts and figures on automatic sprinkler systems.

Trained ISO field representatives evaluate automatic sprinkler systems and identify sprinkler system deficiencies. They report on the adequacy and condition of the building’s system and provide information that insurers can use to make underwriting decisions. Buildings with up-to-par automatic sprinkler systems tend to get lower fire insurance rates. Some buildings equipped with systems don’t receive credit, or get only minimal credit, because ISO doesn’t have access to information that allows us to evaluate the systems fully. Read about how ISO Staff Trains in the Line of Fire.

When should you evaluate a sprinkler system?

If an automatic sprinkler system is present in a building, an ISO field representative evaluates it whenever ISO surveys the property. Sprinkler systems are highly reliable. But according to the NFPA, when a sprinkler system has failed in a fire large enough to activate the system, human error has been the culprit in two-thirds of the fires. (In most cases, someone had shut off the system before the fire).

It’s important that a trained ISO field representative review the automatic sprinkler system when the occupancy of a building changes, when the structure of a building changes, or when the protection systems in a building change. Occupancy changes are especially important, because the design of a sprinkler system depends on the type of occupancy. For example, the sprinkler system designed to protect a warehouse may be quite different from the system designed to protect a manufacturing facility.

The sprinkler system evaluation process also stresses the importance of regular system maintenance and testing, as well as good record keeping.

How does ISO evaluate a sprinkler system?

The ISO field representative will complete an evaluation of the automatic sprinkler system to determine if it’s eligible for automatic sprinkler rating credit under the ISO program. The evaluation consists of a review of the following areas:

system design based on the requirements of the occupancy
available water supply
system installation and components
system testing
areas of the building without sprinklers
building conditions that have an effect on the operation of the sprinklers

The field rep must also have access to the sprinkler riser room, all sprinkler control valves, and all areas of the building. To evaluate an automatic sprinkler system fully, the rep must review certain documents:

main drain test results
a copy of the Underground and Overhead Piping Hydrostatic Test Certificate
dry pipe trip test (for systems with dry pipe valves)
fire pump field performance test (for systems equipped with a fire pump)
system design criteria in the form of sprinkler plans, hydraulic calculations or hydraulic plaque information, and the name of the sprinkler contractor

What is a main drain test?

The main drain on an automatic sprinkler system drains the sprinkler piping of water. The building owner or an individual designated by the building owner may conduct the main drain test. The main drain is located on the automatic sprinkler system riser, and lets you know that the water supply for the sprinkler system is operating. During the test, the designated individual opens the main drain valve to allow for full water flow. The ISO field representative will only witness the test and will not operate any equipment.

The purpose of the test is to determine that all valves controlling the system are open and that water is available. The ISO field representative takes several pressure readings during the test to evaluate the system. He or she also takes a reading of the residual pressure when the valve is open and measures the static pressure when the valve is closed. Since water is flowing during the test, the building owner or designated individual should make sure there is adequate drainage to avoid damage to items such as landscaping. If necessary, it is also the responsibility of the building owner to notify any or all alarm companies.

If evidence of a recent main drain test isn’t available at the time of the survey, insureds can mail the pressure readings from a test up to six months after the survey date and receive credit for the test by sending the Sprinkler System Test form to ISO. If it’s more than six months since the survey, the insurance company must request another survey to evaluate the automatic sprinkler system and apply the results of the main drain test.

How can you help your insured prepare for an automatic sprinkler evaluation?

Building management should maintain the documents required for an automatic sprinkler evaluation at the building site. The property owner should determine who will conduct the periodic tests of the system. An outside firm or an authorized representative can perform the test. The building owner should log all results and add them to the testing record at the building site. Automatic sprinkler systems may not receive full insurance credit if building management doesn’t provide the records to the ISO field representative for review.

ISO has developed convenient forms for documenting test results and logging maintenance test results. The forms include:

If you’re insuring the building or a tenant in the building, contact the property owner or building management before the scheduled inspection. Advise them of the document requirements, the purpose of the evaluation, and access requirements for the ISO field representative. As the insurer, you should also get the name of a building contact and the name of the person responsible for testing and maintenance of the system.

For more information on automatic sprinkler systems, go to Sprinkler Systems Quick Courses.

For additional information about automatic sprinkler credit, call ISO Customer Service at 1-800-677-2878.

To see sample reports that contain information on automatic sprinkler systems, go to:

»Return to home page

Add Comment Add a Comment