Well, I don't mean to get this over the wrong way, but I am a property and casualty insurance agent. We require "any" water no matter the wall height to be fenced. The saftey fences you see on the internet sites for above grounds will suffice, as a fence is merely a way of telling people to keep out. You cannot prevent anyone from hopping your fence around an inground or climbing over your safety fence, but having a fence will let your insurance company know you are doing your part to prevent an accident or worse. Insurance Companies do not fall in line with county/city codes. Your agent/inspector is trying to protect you and their investment in issuing you a policy. Insurance is a risk both parties take. If you were to never file a claim with your homeowners insurance company, then you would say you have wasted a lot of $$ over the years. If they pay a liability claim on your behalf due to an accidental drowning or another type of accident the $$ you have paid in premiums will come no where near the amount your carrier will have to pay as liability claims usually max out the limit on the policy. Most homeowners insurance policies carry a minimum of $100K in liability. The fence is just an underwriting guideline. Farmers used to be the only property insurer that would allow a swimming pool without a fence, but in Jan of 2009 they set the requirement. A fence is a good idea to protect your property. If your swimming pool is inground and not fenced, or above ground with no safety fence around the rail, then your insurance company has either not inspected (usually happens at the time the policy is issued and every three years after that) or they don't know you have installed a pool at all. For me, the fence just gives me a little peace of mind too.