Openly prioritizes property safety and risk mitigation. To ensure homes are properly protected against electrical fire hazards, certain outdated, degraded, or historically problematic electrical components fall completely outside of our underwriting appetite.
Review this guide to identify which electrical systems and features render a property ineligible for coverage.
Ineligible Electrical Features
Properties must be equipped with modern, functional circuit breakers. The following distribution systems are strictly ineligible:
| Component Type | Specific Systems / Brands | Primary Risk |
|---|---|---|
| Outdated Wiring | Knob and Tube, Single-Strand Aluminum Wiring | Insulation degradation, loose connections, and high fire risk. |
| Outdated Overcurrent | Fuses and Fuse Boxes | Overheating and modern circuit overloading. |
| Defective Panel Brands | Federal Pacific (Stab-Lok), Zinsco, Challenger, Pushmatic, Sylvania | Known structural or safety failures; non-compliance with modern building codes. |
| Hazardous Conditions | Exposed, frayed, or damaged wiring | Immediate shock, sparking, or fire hazard. |
Outdated Wiring
Knob and Tube Wiring
Commonly installed in North America from the late 1800s through the 1930s, this system utilizes porcelain knobs and tubes to run wires through the framework.
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The Risk: The protective rubber or cloth insulation naturally breaks down, shreds, or wears away over time. This leaves live wires exposed to the elements and surrounding building materials, creating a severe fire hazard.
Single-Strand Aluminum Wiring
Typically found in homes constructed between the late 1960s and mid-1970s, single-strand aluminum was used as a cheaper alternative to copper.
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The Risk: Aluminum expands and contracts significantly more than copper when heated and cooled by electrical currents. Over time, this thermal activity causes the wire connections to loosen, degrade, and create hazardous electrical arcs.
Outdated Overcurrent
Fuses and Fuse Boxes
Unlike modern circuit breakers that trip and can be reset, fuses melt to break a circuit when overloaded.
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The Risk: Fuse systems were designed for historical, low-load electrical demands. In modern households with high-powered appliances, fuse terminals frequently overheat, fail, or are improperly replaced with mismatched fuses, leading to electrical fires.
Defective Panel Brands
Certain electrical panels have documented histories of failing to trip during an overload or short circuit. Openly does not accept properties with panels manufactured by the following brands:
- Federal Pacific (specifically Stab-Lok)
- Zinsco
- Challenger
- Pushmatic
- Sylvania
Note: If any of these brand names are identified on the electrical panel door or interior manufacturer label during an inspection, the policy will be flagged for underwriting action.
Hazardous Conditions
Exposed, Frayed, or Damaged Wiring
Openly does not accept properties with visible electrical maintenance issues or active hazards. This refers to any wiring in which the protective outer insulation has been cracked, cut, incorrectly spliced, or entirely worn away.
Signs of Compromised Wiring Include:
- Visible bare copper or metal conductors.
- Brittle or severely cracked wire jacket insulation.
- Policyholder reports of flickering lights or frequently sparking outlets.
- Audible buzzing or humming noises coming from walls or switches.
- A distinct ozone or burning smell near electrical outlets and junction boxes.
If you are uncertain about the type or brand of electrical system present in a client's home, or if you need to submit proof of a recent electrical panel upgrade, contact us via our webform or Live Chat.