Homeowners Insurance and Aluminum Wiring

Many insurance companies will not cover a house containing aluminum wiring. Franklin Research Institute found that homes built before 1972 wired with aluminum were 55 times more likely to have outlets with dangerously close wire connections. When the connections at outlets, light switches, and other wires in junction boxes deteriorate, aluminum wiring poses a hazard. If the homeowner completes specific repairs, an insurance company may insure the property.

Wiring Made Of Aluminum

When copper's price rose in the late 1960s, many home builders began using aluminum wire as a less expensive substitute. However, electrical contractors continued to utilize an aluminum wire with copper-wire-optimized connectors and terminals until the mid-1980s, increasing the fire hazard. However, even though aluminum was previously allowed for interior wiring, some homes have since switched to electrical outlets and switches designed for use with copper and aluminum wiring instead. Although some insurers still refuse to cover homes with aluminum wiring, this lowers the risk.

Problems With Electricity

Toxic metal oxidizes when used with aluminum wire on screw terminals of switches and plugs. Corrosion increases the current's resistance to flow. Wires that receive an excessive amount of electricity may become overheated and catch fire, increasing the danger of a fire. The terminals on the receptacles and switches can also become loose when the aluminum wire heats, expands, and compresses, posing another safety danger.

Identification of an Issue

Insurance firms have become more stringent in recent years when it comes to insuring a home with aluminum wiring. Insurers now consider the house a greater fire threat because of the aging wiring and receptacles and switches. Because an electrical fault may not be immediately apparent, the faceplate cover of a switch or outlet may become hot to the touch. Flickering lights, faulty circuits, or a burning odor near an outlet or switch are all signs of something wrong. Make an appointment with a professional electrician to inspect your home's wiring. If you have an electrical problem, don't try to fix it yourself.

Repairs

For homes with aluminum wiring that an insurance provider denies coverage, you may be able to rewire the property entirely with copper wiring to receive coverage. Repairing all the aluminum-to-copper connections is a less expensive repair approach that insurance may accept. Use the COPALUM crimp method as recommended by the Consumer Product Safety Commission. To make a long-term repair, use the AlumniConn connector. Insurance providers may additionally require that residences with aluminum branch circuit wire connections to the service panel be inspected before insuring the house.