The last thing you need is for something to go wrong with your home’s electrical system. Replacing the system will set you back tens of thousands of dollars. Even a repair can lead to a bill for hundreds or thousands of dollars.

The question begs: will home insurance insure electrical systems and/or cover the cost of your electrical system repair?

Anchor Insurance Agency LLP, serving the entirety of Plymouth, MN has the answer.

Home Insurance and Electrical Systems

Electrical systems are integral to home functionality. Home insurance has the potential to cover electrical systems yet each individual policy differs. 

As an example, some homeowners have found it difficult to get home insurance that covers older electrical systems such as that of the knob-and-tube wiring variety. Such electrical systems were popular in homes built in the first half of the 1900s.

If the home you are considering has knob-and-tube wiring, it is possible that home insurance providers will refuse to provide coverage. Others might charge a higher premium as such a system poses heightened risk of fire.

Certain home insurers might also seek an inspection report of the property detailing the wiring condition prior to offering coverage.

What About Other Types of Wiring?

In addition to knob-and-tube wiring, there are other designs such as aluminum wiring. Some insurers are hesitant to insure domiciles with aluminum style wiring while others are willing. 

For the most part, insurers that insure homes with aluminum wiring tend to charge higher premiums as such wiring is viewed as inferior in terms of durability. 

The Issue of Electrical Panels

Home insurance policies typically cover electrical panels. In particular, if the damage to the electrical panel is caused by a covered peril such as lightning or fire, coverage is likely to apply.

However, if the electrical panel damage is caused by insufficient maintenance or old age, it probably won’t be covered. The same is true of most overarching electrical systems.

Anchor Insurance Agency LLP is a Call Away

Are you a homeowner concerned about home insurance? Perhaps you are considering the purchase of a home that might have electrical problems. 

If you live in or near the greater Plymouth, MN area, give our insurance professionals a call at 763-473-4090 for a home insurance quote.