What’s the National Electricity Code (NEC)?

The National Electrical Code (NEC), also called the NFPA 70, is the bare minimum standard of safety approved by the National Fire Protection Association. While this isn’t a federal requirement in the U.S., many local communities within the country and worldwide have established these as minimal legal standards for the installation of electrical equipment and wiring.

The development of these standards is based on the correlation of a 19 different panels in conjunction with a technical committee and involves the installation of a wide range of electrical equipment, including the following:

  • Signaling and Communications Conductors,
  • Electrical Conductors
  • Equipment
  • Optical Fiber Cables
  • Raceways (commercial, residential, and industrial occupancies)
  •  And more

This equipment is used for public and private locations, yards, parking lots, recreational vehicles, mobile homes, carnivals, and various substations.

The NEC Code Book itself consists of nine chapters with each chapter divided into individual articles related to specific subjects.

Why Does NEC Matter to Business Owners?

The NEC exists as a practical safeguard for installing electrical systems by spelling out the requirements needed for an electrical installation that is free from electrical hazards. It isn’t intended to operate as a design guide, but as a simple standard of safety.

For business owners, it means that it’s important to work with state licensed electricians who adhere to NEC standards or better in the installation of wiring in buildings for personal, professional, and industrial purposes.

Failure to do so could result in substandard work that is anything but safe. The end result could be fires that cause damage to property and inventory and put the lives of your employees, customers, and passersby at risk.

In addition to smoke and fire damage that are often caused by improperly or unsafely installed wiring there are additional risks of water damage, when water is used to suppress fires and damage to computers and other office or industrial equipment due to shorts and/or power surges.

In other words, electrical wiring problems may lead to a wide range of additional wiring problems and big risks for your business. It’s important to make sure your business interests are adequately protected.

Despite your best efforts to hire professional electricians for the electrical work necessary for your business and property fires, injuries, and damage from fires happens all the time.

That’s why business owners must invest in business insurance, general liability insurance, and property insurance to protect your business interests when fires and other damages occur as a result of faulty electrical wiring.

Insurance is an investment in your business you never want to find yourself without when it’s needed. Make your investment now in order to protect your business and personal assets when it matters most.