Why should wet towels be hung on the door handle in hotels?

Fire safety precaution
Experts from the National Fire Protection Association (NFPA) recommend using a wet towel or cloth to cover your nose and mouth in case of a hotel fire.

A towel should cover your mouth while leaving your nose exposed to prevent burns in the respiratory tract.
A wet towel hanging on the door handle can be a lifesaver in case of a sudden fire.
Instead of wasting 2–4 minutes wetting a towel in the bathroom, you can grab the pre-prepared one and escape quickly.
Protection from smoke inhalation

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