Alex Massie Alex Massie

Will Cameron Dare to Privatise the Fire Service?

Obviously that’s a Question To Which The Answer Is No. At the American Spectator (arrivistes!) Iain Murray and Matthew Melchiorre report on the success of a privatised fire service in Chatham County, Georgia:

Free riders bankrupted London’s fire insurance companies by taking advantage of their fire services, but the free rider problem is not insurmountable. Had the two services been operated separately, the insurers could have incentivized the purchase of fire company subscriptions by offering clients discounts on premiums. Meanwhile, the fire company could have averted losses by billing non-subscribers for its services. Such a system actually exists today in Chatham County, Georgia, at the Southside Fire Department (SSFD), a privately run and subscription-funded fire, EMS, and security company. The SSFD began in 1961 with only $10,000 and a handful of entrepreneurial volunteer firemen who bought a fire truck and offered subscription-based fire protection to the residents of the then-unincorporated southern section of the county.

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