Until 1997, the Key Rate System was used to determine insurance rates in Texas. The Key Rate System provided an independent team of people to rate fire departments in urban areas in Texas. Only incorporated areas with pressurized water systems were rated. Rural areas were not thought to be up to date. Rural volunteer fire departments had no rating causing rural and suburban residents to pay much higher insurance premiums.
In 1993, the Texas Association of Resource Conservation and Development Councils authorized the Texas State Dry Hydrant Committee. The committee cooperated with the Texas Department of Insurance to change the Key Rate System in Texas to Insurance Service Office (ISO) IN 1997.
ISO operates as a private business for profit. ISO personnel inspect each fire department, urban and rural. The rating system ranges from one to ten, with the higher rating requiring a higher insurance rate. The ISO uses the following criteria to allow all area a fair, reasonable insurance rating.
Dry Hydrant Versus Conventional Hydrant
|
Dry Hydrants
|
Conventional Hydrants
|
| Produces 250-1000 gallons per
minute (Limited only by pump rating) |
Designed to produce 250 gallons per minute |
| Uses untreated water | Uses expensive, treated water needed for domestic uses |
| Suction from pumper trucks will not collapse water lines when increasing volume of water pumped | Suction to increase volume of water from pressurized water lines with pumper trucks will collapse water lines. |
| Broken municipal water lines do not affect availability of water | If water lines break, no water available to fight fires. |
| Water pressure is constant during hours of high water usage | Water pressure varies frequently during peak water use periods |
| Does not need electricity to pump water | Needs electricity to pump water |
| Same insurance rate as houses in city if the dry hydrant is within 1000 feet of rural home | Automatic insurance break for conventional hydrants in the infrastructure of the residential area |
Some insurance breaks for homes without conventional hydrants if within 5 miles of fire station |
Automatic insurance break for urban residences with fire department in the area |
The U.S. Department of Agriculture prohibits discrimination in its programs on the basis of race, color, national origin, sex, religion, age, disability, political beliefs, and marital or family status.