According to Tim Harger, Executive Director of the Lightning Protection Institute (LPI), lightning is a more complex hazard than is often given credit for. In a recent interview with Triple-I CEO Sean Kevelighan, Harger spoke about the importance of preparing for and preventing damage from this risk, which ranks second only to flooding in costly weather events.
People usually think of fire damage when they think of lightning. But Harger said: “Beyond the fire is the destruction of electrical wires and the infrastructure that supports everything we do to communicate and do business.”
When lightning strikes one of these structures, he said, “Activity is halted.”
Harger cited the case of an affected East Coast furniture manufacturer.
“That one lightning strike cost them a little over a million dollars in damage,” he said. “Yes, there was the typical fire that caused structural damage, but what was affecting the ‘inside’ was even more costly. They had damaged inventory, lost production and lost revenue during repairs.”
Investing in a lightning protection system could have saved this business owner – and his insurer – millions of dollars in loss and averted business interruption. Nearly $1 billion in lightning claims was paid out to nearly 78,000 policyholders in 2018, according to LPI.
“Lightning strikes about 100 times a second,” Harger said. “When properly installed, lightning protection systems have been scientifically proven to reduce the risk of a lightning strike.”
A lightning protection system consists of six parts:
- strike terminating device,
- conductors,
- grounding
- Overvoltage protection,
- Equipotential bonding and
- Inspection.
Architects and engineers play an important role in specifying and designing these systems and installation is carried out by certified lightning protection companies. When properly installed, lightning is intercepted by the lightning protection device and energy is directed through the conductors and into the grounding system, preventing structural or electrical infrastructure impact.
“Companies are already installing fire alarms and sprinkler systems to mitigate major fire risks,” Harger said. “Lightning protection systems prevent a lightning strike from causing damage. So investing in a lightning protection system prevents personal injury and the costly consequences of a single strike.”
Several insurers offer premium discounts to policyholders who invest in lightning protection systems. LPI invites insurance providers interested in sharing their customer incentives to contact them at [email protected].
