Aluminum wiring
Aluminum wiring was extensively used in homes between
1965 and 1976. Problems have been reported from the overheating
and failure of aluminum wiring terminals resulting in insurance
concerns. The signs of these problems are: the discoloring of
the wall receptacle, flickering lights, or
the smell of hot plastic insulation.
Although not all aluminum wiring is hazardous, the safety issues
with aluminum wire usually involve the 110-volt circuits used
for outlets and lights. In some cases connections worked loose
and the wire overheated, which sometimes caused a fire. Consequently,
the use of 110-volt aluminum wiring was abandoned, and older homes
with this type of wiring typically warrant upgrades at connection
points or junction boxes.
The use of aluminum wiring is common and acceptable
for 220-volt circuits, provided the connected device is rated for
aluminum wire. Heating equipment, air conditioners, clothes dryers
and electric stoves are examples of acceptable hardware.
As long as the wire ends are protected with a corrosion
resistant compound, concern over the presence of aluminum wire
may not be justified. In fact, the majority of electric utility
companies use aluminum cable for their main service lines. In
all likelihood, the power lines coming to your home are aluminum.
What to do
To confirm the safety of the aluminum wire in a home you may be
purchasing, have a home inspector and electrician meet at the
property to confer and to compare findings. It is recommended
that a qualified electrical contractor inspect the electrical
system, including all connections. The insurance company may
insist on a complete electrical inspection by a certified electrician,
rather than a report from a home inspector.
Source: CREA
Knob and tube wiring
Knob and tube wiring, also known as open wiring, was used in
Canadian homes for almost 50 years, beginning in the early 1900s.
Older homes may still have it in service, fortunately parts are
still available for maintenance purposes. Knob and tube wiring,
properly installed, can still provide many more years of service.
However, it does raise insurance concerns.
The issues started with changing lifestyles.
Most old homes do not have as many electrical circuits as a new
one. To get around this, some homeowners installed additional
outlets or new circuits and tied it into the old wiring, rather
than starting a new circuit at the electrical panel.
Often, when a circuit became overtaxed and 15 amp fuses were constantly
blowing, homeowners put in heavier fuses to stop the problem. Having
25 or 30 amps in a wire not designed to handle it causes the wire
to overheat resulting in the wire and the insulation becoming brittle.
This in turn, led to safety issues.
Some homeowners also did their own renovations, adding outlets
but connecting them into the old wiring without making the proper
connections.
Knob and tube wiring, on its own, is not inherently a problem.
Some argue it does not have a ground conductor, but that is true
of any wiring installed prior to 1960. The ground conductor — or "third
prong" — is necessary if you are plugging in appliances
that have a 3-prong plug.
What to do if the home involved in your transaction has knob and
tube wiring, it is recommended that you follow these guidelines:
Have a qualified electrical contractor check the knob and tube
conductors for sign of deterioration and damage. Some insurance
companies may ask for a specific electrical contractor report.
The general home inspection report will also identify visible electrical
safety concerns in the electrical wiring.
Knob and tube conductors should be replaced where exposed conductors
show evidence of mechanical abuse and or deterioration, poor connections,
overheating, or alterations that could result in overloading.
Source: CREA
Oil Tanks
Oil leaks and spills from residential fuel tanks have cost Canadian
insurance companies and homeowners a lot of money in recent years.
Insurance companies now balk at insuring homes with older fuel
tanks, and some provinces have passed strict new regulations
governing when the tanks must be replaced.
Real estate transactions can be put at risk if you purchase a
property with an underground fuel oil tank and are denied homeowners
insurance. If you find that an existing tank has not been registered,
remedial action may cost thousands of dollars.
Home buyers have also expressed concern over home insurance policies
being denied or being unable to obtain home insurance because of
the age of both under and above ground oil storage tanks. A home
with an exterior oil tank older than 15 years, or an interior tank
older than 25 years, usually will not be insured.
The problem is that many oil tanks are corroding
from the inside out, so the failure is not readily visible. This
often occurs from condensation that builds up inside the tank.
Since oil is lighter than water, the water goes to the bottom of
the tank and causes corrosion. The first sign of a bad tank could
be an odor of oil in the air. There might be rust or corrosion
where the legs are welded to the tank. It could also be the fuel
filter that begins to leak or a nozzle plugging that could be a
symptom.
Insurance companies are concerned that an old oil tank will leak
and spill hundreds of litres of heating oil into the home, or into
the ground. Spilled oil can quickly contaminate soil and groundwater.
If the leak finds its way into a sump pump or floor drain, the
spill will undoubtedly make it a very expensive cleanup. With outside
storage tanks, where rust and corrosion are more common, a spill
can contaminate the soil or make its way into nearby streams or
rivers.
Indoor Oil Tanks
Many home oil tanks are designed and built for indoor use. Indoor
oil tanks will generally last longer and improve the efficiency
of oil-fired appliances.
Indoor storage tanks are less likely to spill and do not emit an
odor.
An indoor oil tank should be installed where it can be easily inspected
but will not be damaged by normal household activities. If possible,
the tank should be surrounded with a low curb and dike to contain
any leaked oil.
The tank should never be placed tight against a wall as this can
cause the tank to rust.
The fuel supply line should be covered and filtered to protect
them from damage.
Storing objects on top of the tank could potentially lead to damage.
Outdoor Oil Tanks
Outdoor tanks should be placed at least 15 metres from any well.
To prevent rust, the tank's exterior should be covered with enamel
paint.
The tank should also be supported properly with a non-flammable
base of concrete or patio stones to prevent it from shifting
or falling over. Wood is not recommended as it can burn, rot
and retains water, which causes the tank to rust.
The tank should be sloped slightly toward the drain, and should
never be in contact with a wall.
To allow for changes in ground level, the oil burner supply line
should have a horizontal loop before entering the building. The
line should be sloped toward the building to prevent water collection.
If possible, the oil filter should be placed inside the home
because collected water can freeze and cause splitting. The supply
line can be installed through the top of the tank to protect
against breaking the line and draining the tank. If frost heaving
or ground settling causes a tank to move, it should be leveled
properly.
Underground Oil Tanks
There is concern many underground fuel oil tanks have reached
the end of their useful lives and are beginning to corrode,
rust and leak. Increasing homeowner insurance claims resulting
from leaking fuel oil tanks are very expensive and can lead
to high insurance rates, or even refusal of coverage.
It is a homeowner's legal responsibility to properly maintain
the oil tank and clean up any spills or leaks that may occur.
An underground tank is tougher to inspect, but the biggest
tip-off it may be leaking is if your home is using more fuel
than normal. Just one litre of leaked oil from an underground
tank can contaminate one million litres of drinking water.
How to check if an underground oil tank is leaking
Because they are buried, it is difficult to detect a leaking
tank. Some underground tanks may leak for
years without owners realizing it. If oil consumption suddenly
goes up the tank may have sprung a
large leak.
There are companies that test underground tanks for leaks. Call
the fuel supplier to help find
underground tank testing companies.
What to do if an oil tank is leaking
Suspect a leak in an underground oil tank? Call a TSSA registered
fuel oil contractor to help find and
stop the leak and clean up any leaked fuel oil. In Ontario,
homeowners are also required to call the
Spills Action Centre of the Ministry of Environment at 1-800-268-6060.
Insurance companies may also
have resources of information.
Underground tanks are required to be upgraded with specific
leak and spill prevention equipment or
be removed.
What to do with unused underground oil tanks
An unused underground oil tank must be removed and all contaminated
soil must be cleaned.
Underground tanks are required to be removed by TSSA registered
fuel oil contractors.
When an underground tank is removed, the soil around the
tank must be assessed for contamination
and all contamination cleaned.
Source: CREA
Wood burning appliances
Although there is nothing like the warm glow
of a wood fire on a cold winter's night, fireplaces and wood stoves
present insurance issues. Has it been installed according to the
official code? It's one of the things a home inspector will usually
pay a lot of attention to. If you are thinking of selling your
home with a fireplace or wood stove, you could have it inspected
first. There are a variety of professionals who are trained in
wood unit safety, including:
-
the local fire department,
-
building inspector,
-
wood heat retailer, and
-
chimney sweep.
If you plan to install a new chimney or wood-heating appliance,
or replace one wood stove with another, many municipalities require
a building permit. If that's the case, the building inspector
may automatically inspect the installation as part of the service.
Insurance Issues
There are five points the insurance company will be concerned with:
Is it an approved unit? It should be certified by Underwriters'
Laboratories of Canada (ULC), The Canadian Standard Association
(CSA) or Warnock Hersey.
Did a professional install it?
Was a building permit issued?
Are the clearances up to the latest Building Code and Fire Code?
There is no "grand fathering" of this requirement.
Is the venting system proper? Ideally there should be no elbows
in the stovepipe and it should be as short as possible.
Having a properly installed wood heat system and making it safer
means the best possible premium for insurance coverage. You should
inform your insurance company or broker whenever a change is made
to the wood heat system. This includes adding or changing a wood
stove, modifying a chimney - anything that may influence the safety
of the wood heat system.
Safety
There are a number of basic safety steps required for
the proper maintenance of a wood burning appliance
you should also be aware of.
Have it cleaned on a regular basis.
Inspect it at least twice a year for corrosion.
Have a smoke detector and a fire extinguisher nearby.
Source: CREA
Vermiculite
Vermiculite Insulation Containing Asbestos
Vermiculite is a naturally occurring mineral that is mined around
the world. From the early 1920's to the mid-1980's, vermiculite
was used as cheap, easy-to-use housing insulation, but has
not been sold for that purpose since 1990.
It has been recently discovered that certain batches of vermiculite
insulation sold in Canada may contain trace amounts of asbestos.
When breathed in, asbestos dust can cause serious lung diseases
and cancer.
If left undisturbed and enclosed behind a wallboard, a floorboard
or in an attic, there is very little risk to health. Never attempt
to remove vermiculite insulation yourself. Consult a professional
contractor who is certified for working with asbestos before attempting
to remove or dispose of the product.
