Keeping your business safe from commercial fires

Many business owners think it’ll never happen to them but being prepared for a commercial fire helps protect you against property and asset loss, and most importantly, can save lives.

The common causes

According to a UK-based report, following a disaster like a fire, 25% of businesses never re-open. NZI Risk Management Consultant, Brett Wallace, considers risk management important because although insurance exists as a backstop, fires are still hugely disruptive to businesses and their customers.  The leading causes of commercial fires in New Zealand are electrical faults, hot work (like welding and grinding), heating equipment, and cooking equipment.

The accidental fire at SkyCity that burned for three days in 2019 was caused by a gas torch lighting a cardboard roll. The ceiling fire at the care centre Summerset in the Vines in September of 2021 was started by a light fitting. These recent examples of devastating damage to New Zealand businesses highlight the risk these fires pose to business owners.

How to manage the risks

Some simple control measures can help prevent these incidences. An NZI risk management consultant is able to provide a tailored risk assessment for your business. The check lists below and helpful guides are also a great place to start in reducing the risks of a commercial fire.

Preventing electrical faults

• Create a plan to regularly inspect and maintain your electrical system.
• Have your electrician ensure your systems meet relevant electrical standards.
• Practise shutting down equipment safely and stress check the system. Regularly prove your fail-safes work.
• Conduct a thermographic survey to pick up over-temperature equipment and potential failing parts.

Download our Electrical Safety Guide here.

Preventing hot work fires

• Always ensure flammable materials are separated from hot work by at least 10 metres or use a screen or fire blanket.
• Appoint a fire spotter to observe all hot work.
• Comply with the precautions set out in your hot work permit.
• Change to cold cutting when working around highly combustible insulation, such as EPS polystyrene.

Download our Hot Work Fire Safety Guide here or ask your broker for an NZI hot work permit.

Preventing heating equipment fires

• Keep heating equipment free of residue and sawdust.
• Ensure overheating controls are functioning.
• Ensure staff are fully trained.
• Follow the manufacturer’s safe-use guidelines.
• Ensure you have fire suppression systems and/or sprinklers in place and working.

Download our Wood Workers or Spray Booth Risk Management Guide here.

Preventing cooking equipment fires

• Ensure deep fryers are fitted with separate thermal cut-out switches to prevent overheating.
• Ensure deep fryers are maintained and checked at least annually by an authorised technician.
• Inspect extraction ducting regularly to check safe levels of grease deposits.
• Consider using pre-filters to stop grease entering metal filters and extraction flues for easier cleaning.
• Check your fire extinguisher is F Rated and your staff are trained to operate it.

Download our Deep Fryer Risk Management Tips here.