Intruder Alarms: Guidance for brokers

Introduction

An intrusion and hold-up alarm system (I&HAS) is a commonly used security measure that
prevents or mitigates a variety of crimes (burglary, robbery, malicious damage and arson) at
home and business premises and is widely recognised by property insurers, who often make
certain types of cover, or the availability of a premium discount, conditional upon the
presence of suitable alarm protection.

In determining the suitability of an alarm system, insurer requirements may be made

regarding the nature of the providers, the type of system, signalling and the expected
response. As brokers are potentially the first port of call for security advice this short guide
sets out to help with basic information and an indication of the standard of alarm protection
the insurer is likely to seek for a new system.

Important:
The installation of an alarm system is a significant investment in the security of premises, so it
makes sense to ‘get it right first time’. If consumers succumb to the temptation to simply select
the cheapest quotation, they may end up with a system that fails to fulfil their, or their insurers’,
expectations and which cannot easily be upgraded subsequently. It is therefore very important to
seek insurer advice and approval before purchase.

Note. A similar version of this guide, aimed at consumers, has been produced for the public
section of the BIBA website.

Before reading the guidance notes that follow, it is helpful to first understand the two
fundamental types of alarm systems that are available, i.e. ‘unmonitored’ and ‘monitored’.

Unmonitored systems

These systems are often referred to as ‘audible only’, or sometimes ‘locally signalled’,
systems as their activation is usually only indicated by the activation of an audible warning
device, e.g. a siren, located on the outside of the premises. Response to such systems relies
on someone nearby both hearing the alarm and then taking suitable action to investigate its
cause or alert others to the activation.

In any event, a telephoned (999) request for police attendance will only be met if the caller
can persuade the police that some evidence of criminal activity exists, i.e. the caller can say
more than “I can hear an alarm operating”.
Use:
Unmonitored systems are typically used at lower risk homes (those without significant amounts
of contents/valuables) and which, for a potential response, have other homes adjacent.

Monitored systems

These systems are often referred to as ‘remote signalling’, or sometimes ‘remote monitored’,
systems as, in addition to having a site warning device, an alarm transmission system (ATS)
product is used to transmit alarm signals to a continuously manned alarm receiving centre
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(ARC).
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 Intruder Alarms: Guidance for brokers

The ARC will hold suitable details of the system, the premises and its nominated keyholders
- who may be a commercial response company (a company providing alarm response in
return for a fee) and/or private individuals, e.g. employees, neighbours, friends, etc.

The installers of such systems conforming to police rules and the applicable standards are
entitled to request a police unique reference number (URN). The award of a URN allows the
ARC to directly contact the police force’s control room and request an immediate response
to alarm activations justifying police attendance.

Insurance:
The confidence that insurers can have in the response normally leads them to require that a
monitored system has a URN as a condition of insurance.
Note that if such systems generate too many false alarms, police response will be curtailed or
withdraw - which may affect any related insurance cover.

When an alarm system recording as having a URN notifies an alarm activation to the ARC
both the police and the keyholders are contacted immediately.

Use:
Monitored systems are typically used at business premises and at higher risk homes (those with
significant amounts of contents/valuables).

GUIDANCE NOTES FOR NEW INTRUDER ALARM SYSTEMS

Discussing alarm requirements with customers and insurers is much easier if you have an
idea of the broad framework within which alarm companies operate, and some of the
terminology used. This guidance summarises the key features to be aware of, some
insurance perspectives and, in the context of monitored systems, any particular police
requirements.

Insurance:
Where an insurer relies upon the presence of an alarm system, it is likely that a policy ‘alarm
condition’ will be applied which, subject to the type of system, may typically require:
• Installation/maintenance, and any monitoring, to be undertaken by an ‘inspectorate’ listed
company
• a maintenance contract with an ‘inspectorate’ listed company being kept in force
• the insurer being informed of any changes to the system (including signalling)
• complete setting of the system when the premises are left unattended
• alarm operating devices (keys/fobs) or alarm code details not being left on site, or in a
site keybox
• the appointment of suitable persons to act as premises keyholders
• the insurer being informed of any reduction in, or withdrawal of, police response
• prompt keyholder attendance if there’s any activation or fault

Standards
Various British Standards covering the design, installation maintenance and monitoring of
intruder alarm systems exist:

• PD 6662 and BS 8243 – applies to the installed alarm system

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• BS 5979 or BS EN 50518 – applies to the ARC

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 Intruder Alarms: Guidance for brokers

Adherence to these Standards is vital to obtain a police URN.

Alarm Inspectorates
Whilst anyone can claim to comply with a British Standard, organisations do exist to enforce
such claims. The two inspectorates recognised by the police as providing this function, and
which also ensure personnel are suitably trained and Criminal Record Bureau vetted, are:
• National Security Inspectorate (NSI)
• Security Systems Alarm Inspection Board (SSAIB).

Inspectorate listing of an alarm company and ARC is vital to obtain a police URN.

Alarm Companies
Systems should be designed, installed and maintained by an NSI or SSAIB listed company.

Inspectorate listing of an alarm company is vital to obtain a police URN.

Alarm Receiving Centres

Monitored systems should be connected to a NSI or SSAIB listed ARC.

Inspectorate listing of an ARC is vital to obtain a police URN.

Keyholders
Keyholders should be appointed to attend all alarm activations and faults.

To adequately fulfil their role, keyholders need to be suitably trained in use of the system,
understand the premises security arrangements and have access to all its alarm protected
parts. With safety considerations in mind, it is often prudent to arrange for keyholders to
attend in pairs - or perhaps use a commercial response company as well, or instead.

Providing an ARC with telephone contact details of at least two keyholders, each able to
reach the premises within 20 minutes of being asked to attend, is vital to obtain a police
URN.

Commercial Response
The response personnel used by commercial response companies have to hold Security
Industry Authority (SIA) guarding licences. NSI or SSAIB listing of a response company is
the best assurance that this is being done, and that other relevant standards are being
observed.

The SIA Approved Contractor Scheme (ACS) is also helpful in identifying reputable
companies.

Where a commercial response company acts as a keyholder and a police URN is required,
its personnel must be able to reach the premises within 20 minutes of being asked to attend.

System Design
To ensure adequate system design, inspectorate listed alarm companies have to carry out a
formal security ‘risk assessment’. Amongst other matters, this will help determine an
appropriate system ‘grade’, the extent and nature of the deployed detection devices, the
intended response (a police response normally) and the performance of the alarm
transmission system.
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System Grade
 Intruder Alarms: Guidance for brokers

PD 6662 (in effect) requires all systems, and the equipment used within them, to meet a
particular security grade 1 – 4 (4 being the highest), the grades most often required being
grade 2 and grade 3. Unmonitored systems, i.e. those warning with a local audible device
only and no connection to an ARC, slot-in as one of the options within grade 2, namely
grade 2E. Insurers disregard grade 1 which provides very low security and very rarely call
for grade 4 as there is little equipment on the market that meets its high security
requirements.

Insurance:
Insurers typically regard the suitability of these system grades as being:
• grade 2E - suitable for lower risk homes
• grade 2 - suitable for higher risk homes and lower risk commercial premises
• grade 3 - suitable for high risk homes and most commercial premises

A key difference between grade 2 and 3 systems is that in grade 3 systems, any movement
detectors have to report ‘masking’ to users when they set the system. Masking is a tactic
used by many criminals to deliberately impair the function of movement detectors, by
covering (masking) them with sticky tape or hairspray. The aim is to prevent operation of the
detectors during a subsequent break in, and is most typically a risk at premises open to the
public where unnoticed access to detectors is possible, e.g. retail or leisure premises.
Important:
Once installed, many aspects of a graded system cannot readily be changed, so it is very
important that an insurer’s views are ascertained before purchase - not least to avoid subsequent
expense and disruption should an installed system later be deemed unsuitable.

A PD 6662, conforming system, at grades 2, 3 or 4, is vital to obtain a police URN.

Detection
System design should ensure that intruders are detected as soon as they enter premises, or
at least as soon as they approach or enter areas within it in which ‘target items’ (items of
attraction to criminals), are located or concentrated. Various types of detection device exist,
those most commonly used being magnetic door contacts (which detect opening of a door),
and sensors which detect movement (movement detectors).

If a police URN is held, the police will only attend if a ‘confirmed’ activation is generated –
see below.

Hold-up devices
Various push button devices can be used to indicate that a robbery is underway. These are
most often used in monitored systems, and may also be used conjunction with other
devices, e.g. cameras and microphones, to help an ARC provide ‘confirmation’ of a robbery.

If a police URN is held, the police will initially respond to ‘unconfirmed’ hold up alarms - but if
too many false alarms occur an upgrade to provide ‘confirmation’ may be required.

Confirmation
BS 8243 sets out the rules for ‘confirmation’, a methodology that aims to avoid false alarms
generated by monitored systems being passed to the police.

Confirmation can be achieved in various ways, for example by use of detection devices plus
microphones (‘audio’ confirmation) or cameras (‘visual’ confirmation) but the most commonly
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used method is called ‘sequential’ confirmation. Simply put, this requires two alarm
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activations to be received at the ARC, within defined periods of time, before they can ask the
 Intruder Alarms: Guidance for brokers

police to attend. If only one activation is received, it is referred to as an ‘unconfirmed’

activation. In these circumstances only keyholders will be notified and, depending on the
wording of the insurer’s policy condition, may be required to attend the premises and
investigate the cause of the activation.

Sequential confirmation is most reliably achieved by having two separate detection devices
covering each room/area requiring alarm protection, and using a ‘dual path’ ATS.

Unsetting:
BS 8243 contains various options for how systems may be unset by users, each of which has an
impact on the ability of the system to generate a ‘confirmed’ activation should intruders force
entry via the alarm user’s designated entry door. These ‘means of unsetting’ are known by their
BS 8243 clause numbers and, depending upon the premise layout, making a ‘wrong’ choice can
undermine the desired level of security.

The most common (cheapest) method used is ‘6.4.5’ - which involves users opening an entry
door and then presenting a small fob to a wall mounted reader inside to unset the system. If
users have forgotten their fob they can unset using a code after the entry time has expired.
If intruders force open the entry door, the alarm system treats them as if they are users without a
fob. In these circumstances the system is not permitted to generate a confirmed activation from
the entry/exit route area, and if intruders move elsewhere within the premises, the generation of
a confirmed activation will be delayed.

Arguably the most secure (but slightly more expensive) method is ‘6.4.3’ – which involves users
unlocking a lock on an entry door that is electronically linked to the alarm system. This turns off
confirmation on the entry route and permits users to enter and complete unsetting at a keypad.
Should intruders force open the entry door, a confirmed activation is not prevented or delayed.

The least secure method is '6.4.4' through which opening the initial entry door disables all means
of alarm confirmation. Thus if an intruder forces the initial entry door, the police will not be called,
in any circumstances. Consequently, this method of unsetting will normally be deemed
unacceptable to the insurer.

A monitored system able to provide confirmed activations is vital to obtain a police URN.

Alarm Transmission System

The ATS is frequently referred to by the more general term ‘alarm signalling’ or ‘alarm
notification’. Monitored systems use an ATS product to transmit alarm signals to an ARC via
the landline or mobile public telephone networks, the latter being referred to in alarm system
documentation as ‘GPRS’ or ‘GSM’ signalling. If only one of these networks (channels) is
used, an ATS is referred to as a ‘single path’. If two networks are used an ATS is referred to
as ‘dual path’. A dual path ATS (e.g. having a landline and GPRS path) is usually used in
preference to a single path ATS. This is because even if one path is lost, e.g. after
deliberate cutting of a telephone line, subsequent alarm signals can still be transmitted to the
ARC via the remaining path. In addition, if loss of one path is followed shortly after by the
loss of the other (with the implication of criminal activity), the ARC is permitted to call for a
police response.

Just as with the alarm system itself, the ATS can be specified at different grades. These
grades determine how quickly the ATS notifies the ARC in the event of a fault and this is
important since the fault might well have been engineered by a criminal. Again, as with the
grade of the system itself, it is important to ascertain the insurer’s preferred or required ATS
grade before committing to a particular specification. Insurers usually require the ‘alarm
notification’ to include a self-powered audible warning device at the premises.
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Migration to ‘all-IP’ network

 Intruder Alarms: Guidance for brokers

At the present time the national ‘analogue’ voice telephone system, often referred to as the
‘PSTN’ (public switched telephone network), is transitioning to a totally ‘digital’ network
referred to as ‘all-IP’. The program is due for completion sometime in 2025. This is
significant for intruder alarm ATS for two reasons above all others.

Firstly, at this point, it is widely believed that one ‘legacy’ signalling technology, the Digital
Communicator (often abbreviated to ‘Digicom’ or just ‘Digi’), that has been used successfully
in alarm systems for decades, but which relies on the traditional functioning of the PSTN, will
be incompatible with the replacement ‘all-IP’ network. There are tens of thousands of single
path ‘Digis’ in the field forming part of alarm systems protecting lower risk premises, their
popularity driven by their low cost. Additionally, a large number of installed dual path ATS
use a ‘Digi’ on one path and these ATS are also expected to be condemned to
obsolescence at some point between now and 2025.

The intruder alarm installing companies now have the task, it being their responsibility, of
selecting all-IP compatible alarm signalling equipment and implementing the change in good
time before the network change. The actual date of the change will vary customer to
customer so if the alarm company has not made the necessary changes by the time the
customer is given a date for their transition to all-IP, the customer should be sure to check
with the alarm company that they have the matter fully in hand. The insurer may previously
have informed the policyholder that they will need to obtain the insurer’s prior approval of the
replacement alarm equipment, if applicable. If doubt exists, the insurer should be contacted.

The second issue that arises in connection with ATS is that with the introduction of the all-IP
network the telecommunications equipment (e.g. the telephone and possibly the alarm ATS)
will be partially or totally out of service if the premises lose their mains electricity power
supply. There is a possibility, particularly in the higher risk situation, that the customer will
be required to ensure that a standby power supply meeting the insurer’s requirements is
provided. The policyholder should check with their insurer if in doubt.

End note
Installing an alarm system is more complicated than it used to be and it is important that
insurance brokers have an awareness of the key issues and thus avoid inadvertently giving
poor advice.

A word on systems already installed. System standards are subject to continuous revision.
The standards and technical references in this document are not necessarily applicable to
systems installed at a former time. The complexities of providing an adequate account of
the conditions in which alarm systems were installed in bygone years does not permit the
subject to be covered in this guide. However, insurers are equipped to assist brokers if as
much information as possible, preferably supported by documentation, is provided at the
outset.

Sources of further information

To find an inspectorate listed alarm company based in your area, please contact:
• National Security Inspectorate: (01628 637512) or visit www.nsi.org.uk
• Security Systems and Alarm Inspection Board: Tel 0191 296 3242 or visit
www.ssaib.org

BIBA has provided this guide in conjunction with the RISCAuthority, a body representing
most UK property insurers. RISCAuthority produces a wide range of technical guidance
documents on a variety of property protection topics, all of which can be downloaded free of
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charge at www.riscauthority.co.uk
 Intruder Alarms: Guidance for brokers

July 2018

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