Tea factory fire risk management

Abstract

In average, 2-3 no of total fire loss claims have been recorded at tea factories in Sri Lanka every year. As an Insurance Engineer, we have been experienced that financial losses were considerable high amount as result of fire losses. The objective is to determine cause of the tea factory fires and manage tea factory fire risk. I have analyzed tea factory claims which were intimated from 2005-2009 at Sri Lanka insurance. Then Identify cause of the damage for each and every fire case and find out most vulnerable area/machine in the tea factory. Then carried out technical comparison of the effected dryers against the new dryer units at the current market, then propose optimal solution for identified area to avert fire risk in the tea factory, finally I have performed cost benefit study regarding my solution against Insurance premium. It has been highlighted that fires which were driven from dryers are most disasters & caused heavy financial losses according to the study. Also fire risk is high in old dryer units compared to new dryer units available at the market due to its superior construction and safety aspects. My conclusion is that Infrared detector coupled with auto alarm system is very good fire risk management solution for tea factory. According to the cost benefit analysis more than 150 million value tea factories will receive cost benefit soon after they installed I.R detector system. But below 150 million sums insured tea factories also have a gradual cost benefit but intangible nature of saving as result of installation of proposed system is enormous as one fire means huge financial loss.