A fire blanket is difficult to deploy in a C Dory, although you are to be commended if you have one. I prefer the small liquid/gas type of fire extinguisher as used in our kitchen for potential grease fires. I kept two of those by the galley, just outboard of the helm seat. Easy to grab, and use on a galley grease fire. Never use water on an alchohol fire--the alcohol floats on top of the water and fire spreads. I have repsponded to fires on other boats, and always grabbed at least one of the usual CG approved BC extinguisher and one of the galley extinguishers. Fires are one of the most frightening adverse events which can occur on a boat.
When I was about 11 years old My dad's boat was in San Pedro, and the frst Transpacific after WWII was starting the next day. Howard Keel's boat (Sea Hawk) was several hundred feet away, and had a propane leak, wife lit a cigarette at about 2 in the morning, "boom" and fire. They escaped, but the boat burned to the waterline. Fortunately no other boats were badly damaged. I have seen about a dozen fires or explosions on boats during my lifetime...This is often lethal.
One fire I remember was at Catalina, and a rented 30' sailboat. The alchol (under pressure) fitting behind the stove failed. Atomized Alcohol sprayed everywhere--and when I saw it, the flames were comming out of the main hatch as the people tried to escape. Fortunately I was able to shut off the valve at the tank, and supress the fire. The boat was left there for the rental company to take care of. We took the people aboard to the Isthmus where we had radioed ahead and an evacuation chopper had already responded to get them to a burn unit.