The coldest temperatures in two decades and the recent polar vortex have blanketed much of our area with snow and ice. As a result, many clients may have to temporarily turn off their sprinkler systems for repairs due to the freezing conditions.
Check your property policy! Your coverage may be jeopardized if you suffer a fire loss and the insurance company was not notified that the system was turned off, even temporarily.
It is good practice to review your Commercial Property Policy for a Protective Safeguard Endorsement.
This endorsement provides that the insurance carrier will not pay for loss or damage by fire if the insured:
- Knew of any suspension or impairment
- Failed to notify the insurance carrier of that fact
- Failed to maintain any protective safeguards that are listed in the Schedule
Safeguards referenced in the endorsement can include the following items: an automatic sprinkler system, fire alarm, burglar alarms and smoke detectors.
JKJ Tip: Advise your insurance broker if the sprinkler system (or any alarm system) must be shut down for any reason, regardless. They can determine if a Protective Safeguards Endorsement is applicable and make the necessary arrangements with the insurance carrier to suspend the application of the endorsement.
Author: Tracy Thompson, Commercial Account Manager