I think I will lower the line
<FailureRule SystemID="engine_one" average_hrs="275" damageAmount_pct="8" frequency_secs="30" dump="y"/> to
<FailureRule SystemID="engine_one" average_hrs="250" damageAmount_pct="8" frequency_secs="30" dump="y"/>
but will otherwise leave these settings alone and keep on testing.