Insurance & ISO
Based on information obtained from various insurance agencies in the city, one can see the substantial savings the City of Kingsport Fire Department offers to residents and businesses:
There are approximately 15,200 residential units inside the City of Kingsport. The median value of a home in the city is $97,500. The average homeowner’s policy for coverage amount of $97,500 is $273 per year in the city. This is based on the Class 3 ISO Rating. If the same house was in a Class 10 ISO Rating area, the annual insurance premium would be $556 per year. This saves the homeowner approximately $283 on their insurance premium.
There are approximately 2,104 commercial buildings in the City of Kingsport.
A commercial building covered for the amount of $100,000 has a yearly minimum rate of $412 for Class 3 ISO Rating area. If the same building were in a Class 10 ISO rating area, the minimum premium would be $1144 per year. (This applies the structure itself). The contents inside the building would be insured separately. Although there is no accurate way to calculate the amount of contents in all buildings in the city, the savings in premiums in a Class 3 area would be substantial from that of a Class 10 area. In the City of Kingsport, this could cause a savings of tens of thousands of dollars in content insurance premiums.
RESULT OF SAVINGS
Based on the above information from various insurance agencies, the level of service delivered by the Kingsport Fire Department provides a MINIMUM savings to property owners of $5,775,848 in annual insurance premiums.