Wondering how knob-and-tube wiring could impact home insurance coverage? Our MyChoice team has created this comprehensive guide based on our review of the Electrical Safety Authority’s knob-and-tube guidance, its Homeowner Electrical Safety Handbook and Insurance Bureau of Canada’s home-coverage guide, and the federal home-insurance guide.
You will learn:
- how knob-and-tube wiring affects electrical safety
- how knob-and-tube wiring can affect home insurance decisions about granting or renewing coverage
- whether knob-and-tube wiring is still legal in Ontario
- what information insurers may require, who to call to inspect knob-and-tube wiring, how to get a review from the Electrical Safety Authority (ESA) and what to confirm before investing in a partial or complete rewiring job.
Can You Get Home Insurance With Knob-And-Tube Wiring?
Some insurance companies will not renew or issue a new policy if the house has knob-and-tube wiring. Others will consider coverage once a Licensed Electrical Contractor has inspected the knob-and-tube wiring. Some will issue policies that are limited to a period of time during which required electrical updates will be made. Eligibility, conditions, and price depend on the insurance company and the home’s documented condition.
Knob-and-tube wiring in Ontario is not necessarily illegal. According to the ESA, the current Ontario Electrical Safety Code is not retroactive, and knob-and-tube wiring can be safe if well maintained. That does not require an insurer to accept the risk.
Risks Associated With Knob And Tube Wiring
Knob and tube is an outdated form of electrical wiring. Depending on the wiring’s condition, how heavily the circuit is loaded, and whether later owners or contractors altered it unsafely, knob-and-tube wiring can be risky.
Signs of deterioration include:
- Brittle insulation
- Loose wire connections
- Cracked supports
- Exposed conductors
Knob-and-tube wiring was designed to let surrounding air cool electrical conductors. Insulating over knob-and-tube circuits can prevent proper cooling of energized wires.
Knob-and-tube wiring does not include an equipment-grounding conductor. Plug-in grounding adapters do not create a ground.
Altering knob-and-tube wiring can create electrical hazards. This includes connecting modern electrical wiring to knob-and-tube wiring or making improvised repairs or circuit extensions.
Call a Licensed Electrical Contractor to inspect outlets that smoke or spark or feel hot to the touch. Stop using the outlet until an electrician inspects it.
Turn off the circuit if it repeatedly trips a circuit breaker or blows a fuse. Have a Licensed Electrical Contractor inspect the circuit.
If there’s a fire or other emergency, contact emergency services immediately.
Other signs that a circuit is overloaded or defective include:
- Flickering or dimming lights
- Burning smell
Will Insurance Cover Knob And Tube Wiring?
If the insurer agrees to write or keep writing the insurance on your home, it does not follow that the insurer will pay to replace the knob and tube wiring. Underwriting is not claims. Underwriting is whether the insurer will insure the house. Claims is whether a particular loss is covered under your policy.
Home insurance is not a maintenance contract. Wear, deterioration, and the cost of upgrading an old system are generally the owner’s responsibility.
If a fire originates from faulty wiring, coverage for the resulting damage depends on the policy, disclosure, cause, exclusions, limits, and deductible.
Ask your insurer or broker to put their response in writing.
Read More: See How Older Wiring Can Lead to High-Risk Home Insurance
The Ontario Assessment And Repair Process
If you know or suspect that your property has knob-and-tube wiring, let your insurer or broker know. Wiring should not be reported as inactive unless verified as such by a qualified electrical contractor. Ask what is required for coverage and get those requirements in writing, including whether the insurer needs an electrical assessment, repairs, full rewiring, an ESA Certificate of Acceptance, photographs, invoices, or completion by a certain date.
Read More: Learn About Home Insurance in Ontario
When sending documentation to the insurer, request written confirmation of eligibility, coverage, premium, effective date, and conditions.
Ask for an ECRA/ESA licence number when hiring a Licensed Electrical Contractor, and verify it. Electrical assessments are different from home inspections. Ask about active knob-and-tube wiring, unsafe alterations, electrical service or panel issues, insulation-to-wiring contact, and grounding.
Ask the contractor which repairs are recommended for safety and which requirements must be met for insurance. Almost all electrical work requires a notification to be filed. This notification is the responsibility of the person performing the work. Once the work passes ESA review, ESA issues a Certificate of Acceptance.
Read More: See When an Insurance Inspection May Be Required
Partial Repair Or Complete Replacement?
| Finding | Possible scope | What to verify |
|---|---|---|
| A limited active section remains | Targeted replacement may be technically possible. | Can the proposed scope of partial repair be accepted by the LEC, the ESA process and your insurer? |
| Widespread active wiring or unsafe alterations | Some situations warrant wider or even complete rewiring rather than repair. | Panel capacity, service size, ease of access and restoration, and the completion sequence. |
| Old wiring appears abandoned | Record that the old wiring has been disconnected from every source. | How did the contractor verify it, and what proof will the insurer want? |
| Renovation will expose or change circuits | All new work must meet current requirements. | Electrical notification, inspection stages and whether walls may be closed. |
Do not assume partial repairs will be acceptable to the insurer’s underwriter or that complete rewiring is always required. The electrical report and the underwriter’s requirements must align before work begins.
How Much Does It Cost To Replace Knob And Tube Wiring?
There is no reliable province-wide average in the sources reviewed.
Costs can also include repairs to walls, ceilings, and flooring. Confirm who will do this work, as it may not be included in an electrical quote.
When asking for quotes, request a breakdown, including the amount of wiring to be left in service, number of circuits, and number of devices.
Include panel updates, service changes, work in finished walls and ceilings, ESA fees, permits where required, and notifications. Ask what is not included, such as paint, plaster, or floor repairs if walls or ceilings need to be opened. Compare like for like.
Documents To Keep For The Insurer And A Future Sale
- Copy of assessment by Licensed Electrical Contractor, including their ECRA/ESA licence number
- Copy of ESA notification number and ESA Certificate of Acceptance
- Scope of work in writing, any change orders, invoices, receipts/proofs of payment
- Photos of electrical before closing up walls/ceilings for future reference in the event of property sale
- Confirmation from insurer in writing that any conditions were met.
Read More: Review How Home Fire Insurance Works