1940 Home with knob and tube wiring.

8 Replies

Hi All. My 1940 Rehab is Pending in Escrow. The potential buyer and their agent called about 10 Companies for home insurance but none of them would provide coverage because even though the panel has been upgraded w/in 10 years, the wiring is the old knob and tube. Would anyone recommend an Insurance Co. that will provide coverage. The house is 1940, 933 SqFt, one story,2/1, on raised foundation. Can someone give me a ballpark number of how much would cost to rewire the entire house. All input is greatly appreciated. Thank You in advance.

couple Gs... not a little but not a whole lot

Attila,

I feel for you.   I had a good friend & client go through it.  I have a couple of suggestions:

1. if you are doing a rehab that will include the wiring, you may get a Renovation Builders Risk policy to cover you. 

2. If the regular market will not cover it, have your agent check in the Excess/Surplus lines.  At least in our area there are markets that will cover a building with knob & tube.  The cost is higher and there are typically more exclusions on those Excess Lines policies.  That was what we did for my friends rental until he was able to update all the wiring.

Hope it works out.

@Max Tanenbaum
Thank You!
@John Mocker
The rehab is all complete. There were some new wiring added but mostly the old one was kept.
I will direct your information to the buyer’s agent and hope they can an insurance company and work out something. Thank You!

Hi @Attila Bertalan ,

I know for sure, in certain states, Travelers will write a home policy for a property that has some knob and tube as long as it is in good condition and there is a breaker box.

I have a few like that with Travelers and also with Foremost. They had the old fuse box replaced with a breaker panel.  My policies all run in the 1000 range, give or take a few.

@Shelley F.

They called Foremost and was told that they don't cover that kind of properties even though the old box was replaced w/in 10 years with a breaker panel. I did tell the buyer's agent to try Travelers...hopefully better luck.

Thank you for the info.

Hey Attila,

I have a 1940's property with knob and tube and its covered by State Farm insurance. This is also in California. There is a new main panel and the attic knob and tube has been upgraded for attic insulation, but it still remains everywhere else in great shape.

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