By: Thabo Twalo, Chief Underwriting Officer at Santam Broker Solutions

The advantages of fire sprinkler systems for businesses

Every year South African businesses lose millions of Rands in damages as a result of fire. As a result, the latest Santam Insurance Barometer report cites commercial fire as the single biggest risk to businesses from an insurer claims perspective.

As one of the largest contributing factors to financial loss for businesses, commercial fires not only threaten lives but also severely impact operations, with many affected businesses never being able to fully recover from the damages and devastating knock-on effects of fire.

This is according to Thabo Twalo, Chief Underwriting Officer at Santam Broker Solutions. Twalo says that understanding the major causes of commercial fires and the associated risks is the first step towards mitigating a potential disaster. “It is essential for business owners to consider a comprehensive fire safety management strategy that assesses and addresses every potential risk scenario,” Twalo says.

Backed by years of experience and implementation of successful commercial fire risk solutions, Twalo explains that insurance providers and intermediaries are ideally positioned to assist business owners to help optimise commercial fire management strategies to reduce the risk of damage as a result of fire.

“The Santam 2022/2023 Insurance Barometer report confirmed that 91% of commercial brokers complete a client site visit to assess risk and risk management when selling cover. This positive finding suggests that risk management is becoming more of a priority among commercial brokers and that steps are being taken to build more resilient businesses. These site visits are important to impart practical, tailored advice on fire risk mitigation, such as sprinkler and fire-retardant systems. There can be a huge difference in the premium charged for clients with well - versus poorly-managed risk,” says Twalo.

Twalo adds that automatic fire sprinkler systems are fast becoming an essential first line of defence for many businesses based on the proven capability to significantly reduce the potential damage caused by fires.

What is an automatic fire sprinkler system?

An automatic fire sprinkler system is a pressurised water supply and distribution system developed according to specific fire design codes and standards. According to Twalo, these systems are typically found in warehouses, manufacturing plants, hotels as well as large office buildings and residential properties.

The main components of a fire sprinkler system comprise water supply pipework and a network of sprinkler heads that activate in the event of a fire, releasing water from the system to extinguish the fire below.

Water supplies can be in the form of a public or municipal water supply for small installations, or from independent water tanks and dedicated fire pumps for larger installations.

Advantages of fire sprinkler systems

Considered as one of the most reliable and cost-effective fire control methods, fire sprinkler systems are generally easily installed and maintained.

Provided that systems are professionally fitted and that all key components are fully functioning and serviced regularly, Twalo says that fire sprinkler systems hold a number of benefits to business owners:

• Fire sprinkler systems are designed to react promptly and automatically in the event of a fire, irrespective of the time of day, without the need for human intervention or having to navigate safety considerations.
• Sprinkler systems are fitted with water flow alarms which will alert occupants as well as offsite monitoring services of a developing fire.
• Sprinklers are designed to extinguish fire at inception which results in significantly less heat and smoke being generated.
• A well-designed system will ensure prompt control of the spread of fire to minimise and localise fire and water damage to property.
• Occupants and fire fighters are exposed to much less danger if the fire is controlled by a sprinkler system.
• A fire controlled by sprinkler systems generally results in less damage to property which translates into reduced insurance premiums for those businesses fitted with sprinkler systems.
• Sprinkler systems use significantly less fire water than hydrants, hydraulic hose reels or general fire services, making it a much more cost-effective and sustainable fire control solution.

Regulations guiding the use of Fire Sprinkler Systems

In terms of Section 17 of the South African Building Act, the National Building Regulations and Directives provide “for the requirements with which buildings shall comply in so far as precautionary measures against fires or other emergencies are concerned, including the resistance of buildings against the outbreak and spreading of fires, the protection of the occupants or users of buildings or other persons against fires, the aids or other installations to be in buildings for the combating or prevention of fires and for the vacating of such buildings in cases of fires or other emergencies”.

To comply with the above legislation, Twalo says that it has become global best practice to install passive fire protection, such as smoke detectors in buildings and automatic sprinklers in structures with a high fire load or where such buildings or structures house high-risk exposures. “These systems are designed and installed in accordance with proven standards, codes and rules that are based on actual fire tests,” Twalo says.

In South Africa the minimum legal requirement for sprinklers are prescribed by and contained in:

The National Building Regulations and Building Standards Act No. 103 of 1977

Code of Practice for the Application of the National Building Regulations Part T of SANS 10400

SABS 0287 – Automatic Sprinkler installation for firefighting purposes

Review commercial policies annually to ensure protocols are in place

“We urge business owners and their intermediaries to proactively review their commercial insurance policies on an annual basis and to update these where necessary. This will ensure a thorough understanding of the complete scope of cover in the event of a fire or any adverse event that could lead to severe loss, damage or extended business interruption,” concludes Twalo.