Evaluation of The Implementation of Fire Safety Management Based On Work Breakdown Structure Affecting The Insurance Premium Costs of High-Rise Office Building

Abstract

Fire is a disaster that is detrimental to all parties, including building owners, managers/users, or other communities in the building. Tall buildings, especially in Jakarta face a serious threat from fires which can cause huge losses. Effective fire safety management is essential to prevent such occurrences. According to the NFPA, office buildings have a confusing and indirect escape route, often caused by the layout of the office or the arrangement of the space being rented out. To anticipate and mitigate the risk of fire, the owner of a tall building works with an insurance company as a form of risk transfer. The determination of the premium rate for fire is regulated in the attachment to the circular letter of the Financial Services Authority (OJK). In the attachment, the premium rates are set limits the lower and upper limits are divided only based on the occupancy of the building and its construction class. This study aims to propose the determinants of premiums that are influenced by the application of fire safety management in high-rise office buildings. For this purpose, a large amount of data is collected through literature studies, surveys, in-depth interviews, and research instrument trials. In this study, WBS is used in the breakdown of indicators that meet the criteria for fire safety management to be more systematic and detailed. Based on previous literature studies and survey , the reality in the field shows that most of the high-rise office buildings have not implemented the Fire Safety Management system properly and consistently. Besides, there is no influence regarding the role of insurance in financing fire protection in buildings. To overcome this, we propose to consider the extent to which buildings implement fire safety management in determining insurance premium rates to improve the application of fire safety management in high-rise buildings. As the result, The most significant influences the premium is fire prevention in office buildings.