Insurance company rejects electrical fuses

DEAR BARRY: The home I’m selling is very old and the main electric panel contains fuses rather than circuit breakers. The buyer’s home inspector says the electrical system is not up to current standards but appears to be safe and functional.

The insurance company, however, refuses to write a homeowner’s policy unless the electric panel is upgraded to circuit breakers. They say that a fused electrical system is unsafe. Who should I believe, the home inspector or the insurance company?

— Kevin

DEAR KEVIN: Insurance underwriters are not experts in the field of electrical wiring, but their actuarial tables are the stars by which they navigate their financial ship. These statistical constellations indicate higher instances of residential fire with fused electrical systems. Since their approval is needed to close escrow, they win the debate.

However, this does not mean that fuses are inherently less safe than circuit breakers. In fact, fuses, when properly installed, are probably more reliable than breakers because they have a quicker response time when there is a power overload, and they are literally fail-safe when electrical overloads occur.

These advantages are due to the simple design of fuses. The only working part is a small wire filament. This thin metal strand is able to conduct a limited amount of electricity. When that power level is exceeded, the filament instantly burns up, causing an immediate interruption of power.

Circuit breakers, on the other hand, are complex electromagnetic switches, capable of failure in a number of circumstances. Rust damage and overheating can cause breakers to stick in the “on” position, and breakers are not designed to trip in all types of overload conditions.

The problem with fuses is that their intended purpose can be defeated by well-intended but illinformed homeowners and other self-appointed handy-people.

From a technical standpoint, breakers may not be as reliable as fuses, but owners and renters are unable to tamper with circuit breakers. When breakers trip, you simply switch them back on. When they trip repeatedly, the only option is to call an electrician.

In today’s world, insurance companies not only write the policies, they write the rules. Like it or not, you may be upgrading to circuit breakers soon.

To write to Barry Stone, go to www.housedetective.com.