National Board of Fire Underwriters
Definition - What does National Board of Fire Underwriters mean?
The National Board of Fire Underwriters was a group established in 1886 with the aim of preventing loss from fire and to protect property and lives from fire-related harms. It gathered statistics from fire incidents across the United States to provide a template for fire insurance.
Insuranceopedia explains National Board of Fire Underwriters
This group is historically significant for having created standards for fire coverage. It did so by accumulating fire-related statistics across the country and basing premium charges and coverage from the data it assiduously collected and interpreted.
The group also classified property and its use, such as home or commercial property, a method that is also applied by companies nowadays since particular kinds of property (and their uses) have their own intrinsic risks.
The board became co-opted by the American Insurance Association in the mid-1960s. In 1971, its program was turned over to the Insurance Services Office, an insurance rate-calculating body.