Preventive steps in winter will help keep insurance rates down

Recent cold temperatures experienced by most of the state in December resulted in several property damage claims from frozen pipes. These claims will ultimately lead to more than $3.6 million in losses, and winter is not over yet. Since PACE is an insurance pool, losses of this magnitude lead directly to higher rates paid by all members.

PACE has several suggestions that will help prevent water-related losses from frozen pipes and keep rates affordable:

  • When temperatures are going to be low, maintain heat in buildings. Studies show a steady temperature in a building costs less in the long run than heating it for the day and turning off the heat at night. Heating bills will probably be less than the deductible if a loss occurs.
  • Wrap exposed pipes in drop ceilings or those that have exterior exposures. Leave cupboard doors open to maintain heat under sinks and drip a faucet. The water bill from a dripping faucet will be significantly lower than the deductible from a property loss.
  • Maintain thermostats and consider sending facilities people to inspect buildings over a long weekend or if school is out due to inclement weather. Finding a small problem before it erupts is always a plus.

Following these tips will keep premiums affordable for you and over 290 school districts, ESDs, charter schools and community colleges.