On Wednesday, February 8, 2023, the Cape Girardeau Fire Department announced the lowering of the city’s PPC rating from a 4/4X to a 3/3X. This recognition of improvement in our fire safety and response capability is related to the work for our city organization to invest in our fire prevention and response infrastructure and can have an added benefit to residents and businesses in Cape Girardeau.
The Insurance Services Office (ISO) conducts a Public Protection Classification (PPC) Survey for communities every five years. The PPC survey grades the structural fire suppression delivery system for our community along with 911 communications and the citywide water distribution system.
According to the press release from the City of Cape Girardeau “The PPC rating plays a significant role in the underwriting process at most insurance companies, including some of the nation’s largest insurers. This information is used as part of the decision making process when deciding what coverage to offer or prices to charge for personal or commercial property insurance.”
For businesses this improved rating may translate to a decrease in premiums on property insurance premiums when your annual renewal comes up. Each underwriting agency utilizes the PPC ratings differently in their process. Some may group them together; others may look at each level distinctly. To learn more about how this new classification can benefit you, a follow up conversation with your local business insurance agent can provide additional insight.
It’s also worth noting this improvement can also be a potential benefit to your homeowners insurance premiums as well. Local investments in our community fire prevention infrastructure, may literally pay dividends to the community this year.
Based in New York, Stephen Freeman is a Senior Editor at Trending Insurance News. Previously he has worked for Forbes and The Huffington Post. Steven is a graduate of Risk Management at the University of New York.