Are downlights a fire risk, and do they need clearance from insulation?

A traditional halogen downlight puts a lot of heat into the ceiling cavity. Insulation packed against it traps that heat, and there is a long history of ceiling fires in Australian homes from exactly this. The historical answer was to keep insulation physically clear of every fitting, which is why so many homes have neat holes cut in the batts and a cold spot above every light.

What the markings mean

• A fitting marked IC may be covered by insulation.
• A fitting marked IC-4 may be covered and is also rated for continuous operation in that condition.
• A fitting marked CA80 or CA135 must have an air gap of that many millimetres around it.
• An unmarked older fitting should be treated as needing clearance.1

The upgrade worth doing

Replacing old halogen downlights with sealed LED fittings that are insulation contact rated solves three problems at once. The fire risk goes away, the gaps in the insulation can be closed, and the ceiling stops leaking conditioned air through a dozen holes. On a house with twenty downlights that last point is not trivial, and it is the reason this job pays for itself faster than the lamp saving alone suggests.