by JEN BIUNDO

Buda firefighters perform training exercises, one of the many improvements in the fire department that contributed to a better fire protection rating, which goes into effect this week. (Photo by Jen Biundo)

An improved fire protection classification will go into effect next week for homes in the Buda area, meaning some local property owners may soon see their home and commercial insurance rates drop by up to 33 percent.

“Hopefully this will save the taxpayers hundreds of thousands, if not millions of dollars,” said Buda Fire Chief Clay Huckaby.

The new ratings reflect the fire department’s improved ability to prevent and fight structure fires, following the construction of two new stations, the purchase of new fire trucks and improved training procedures for volunteer and career firefighters.

Nearly five years ago, the fire department hired a consultant to outline the process of improving the ratings set by the national Insurance Services Office (ISO).

“As the community grew we were trying to do everything we could to provide a better service and faster response,” Huckaby said, “And in turn it helped our ISO rating.”

Effective June 1, Buda’s Public Protection Classification (PPC) will jump from a 7 to a 3, with 10 being the worst possible rating and 1 being the best. Properties outside city limits currently are rated at a 9, but will also be ranked at a 3 if located within 1,000 feet of a fire hydrant and five road miles of a fire station.

Some subdivisions outside city limits, such as Hays Country Oaks, do not have fire hydrants and will not be impacted by the change, Huckaby said. However, later this year the fire department hopes to begin the process of getting all properties within the district reduced to a 3.

The city of Austin has a PPC of 2, while Kyle’s rate is a 6, with efforts underway to reduce it.

Homes inside the city limits will see an average 15 percent drop in insurance premiums, while homes outside city limits that met the criteria for the rating improvement will see an average 33 percent price drop, according to a report commissioned by the fire department.

Meanwhile, commercial businesses will see a 33 percent average drop.

But few things are simple when it comes to insurance, and homeowners should check with their policy provider to make sure they get the lower rates.

Some insurance companies will already have the updated ISO rating, Huckaby said, while others may need to be informed of the change. After June 1, property owners can log onto the Buda Fire Department website, www.budafire.org, to print out forms to send to their insurance company, or call the fire department at 295-2232 to request a form by mail.

Some insurance companies may only apply the reduced rates when signing a new policy, while others may pro-rate the cost of an existing policy.

Debbie Thames, an agent with Farmer’s Insurance, said her clients are seeing reductions of about $200 on their upcoming annual homeowners’ policies. For policies that went into effect shortly before June 1, Thames said Farmer’s may look at rewriting policies to help customers take advantage of the lower rates.

“It’s making a great difference,” Thames said.

Huckaby, who’s spent the last five years working to lower the ISO ratings, said he’s still waiting to hear how it will impact the bill he pays to State Farm insurance for the policy protecting his Buda home.

“I called them and they said they already had the forms, but they couldn’t tell me how much my rates would drop,” Huckaby said. “They were still figuring it out.”