| The National Fire Protection Association, a nonprofit | | | | homes and other buildings that posed fire risks. Franklin |
| organization devoted to fire safety, states in its | | | | also invented several items to reduce the risk of fire, |
| September 2007 report that U.S. fire departments | | | | including the lightning rod and iron furnace stove. |
| responded to 1,642,500 fires in 2006. That is one fire | | | | Today the National Fire Protection Association, the U.S. |
| every 19.2 seconds. | | | | Fire Administration, local fire departments, and schools |
| The damage from fire is heartbreaking. In 2006, fire | | | | are working to prevent fires. Although the number of |
| claimed some 3,245 civilian lives and resulted in more | | | | fires increased 2.5 percent in 2006, the number of |
| than $11 billion in direct property loss. That puts fires | | | | civilian fire deaths decreased a dramatic 11.7 percent, |
| ahead of hurricanes ($5.4 billion a year), floods ($5.2 | | | | the lowest total since the NFPA started using its |
| billion a year), and earthquakes ($4.4 billion a year) for | | | | current survey methodology in 1977-78. The biggest |
| direct annual losses. The U.S. Fire Administration, a | | | | improvements occurred in residential safety. The |
| federal agency, reports that the indirect costs of | | | | number of civilians who died in residential fires declined |
| fires-including medical expenses, lost business, | | | | 14.2 percent overall, to 2,620. The number of people |
| temporary lodging, and psychological damage may be | | | | who died in one- and two-story homes declined 16.1 |
| ten times larger than the direct costs. No wonder fire | | | | percent. Amazingly, residential fire deaths are down 57 |
| insurance is the central feature of homeowners | | | | percent from the all-time high of 6,015 reported in 1978. |
| insurance. | | | | The one of the biggest reasons for the change in |
| Fire insurance was the first form of homeowners | | | | fire-related deaths has been the decline in the |
| insurance. It was the brainchild of Nicholas Barbon, an | | | | prevalence of smoking. According to the Centers for |
| English physician, economist, and businessman who | | | | Disease Control, the prevalence of smoking among |
| helped with the rebuilding efforts after the Great Fire | | | | adults has declined from 42 percent in 1965 to 20.8 |
| of London in 1666, which had destroyed more than | | | | percent in 2006. Technology has also had a huge |
| 13,000 homes. He began to offer fire insurance in 1667. | | | | impact on residential fires. Smoke detectors, upholstery |
| In 1680 he founded London's first fire brigade, designed | | | | and mattresses that are resistant to cigarette ignitions, |
| to prevent another disaster and, of course, minimize | | | | child-resistant cigarette lighters, and reduced ignition |
| the risk to his insurance operation. | | | | cigarettes have all contributed to the decline in |
| The first American insurance company, founded in | | | | residential fire fatalities. |
| Charleston, South Carolina, in 1732, also offered fire | | | | To reduce fires further, the National Fire Protection |
| insurance. Inventor, printer, entrepreneur, and signer of | | | | Association, a nonprofit provider of fire safety |
| the Declaration of Independence Benjamin Franklin | | | | information, recommends five strategies: |
| helped popularize fire insurance by introducing | | | | 1) More and better fire safety education, including |
| perpetual insurance in 1752 through the Philadelphia | | | | common causes of fatal home fires |
| Contributionship for the Insurance of Houses from | | | | 2) Increased use of smoke detectors |
| Loss by Fire. With perpetual insurance, the insured | | | | 3) Wider use of residential sprinklers |
| makes a one-time deposit with the insurance | | | | 4) Additional ways home products fire resistant |
| company. In return, the insurer promises to pay any | | | | 5) Address the fire safety needs of high-risk groups, |
| claims for fire loss in perpetuity. If the policy is | | | | including the young, older adults, and the poor |
| cancelled, the insurer returns the entire premium to the | | | | Despite the gains that have been made, fire remains a |
| insured. For the model to work, the insurer must earn | | | | leading killer, especially of the old, the young, and the |
| enough of a return on the deposits to pay for losses | | | | poor. Several of the steps that can prevent fires are |
| and operations. | | | | low cost and easy to do, such as installing smoke |
| Following the model of Barbon's Fire Office, Franklin's | | | | detectors, and making sure existing ones have |
| company sought to minimize losses through fire | | | | charged batteries. The cost/benefit ratio could not be |
| prevention. The company also followed strict | | | | higher. |
| underwriting guidelines, refusing to insure wood-frame | | | | |