# Pellet Stoves and Homeowners Insurance



## BDub (Jan 24, 2009)

I installed my pellet stove myself, roughly 2.5 months ago.  It was given to me by my brother in law who upgraded to a sweet Harman coal feeder.  After the installation I had the local chimney sweep in to give the stove a good cleaning and check the venting I did.  They said it was fine.  Talking to a co-worker today, he mentioned he got what he described as a "hefty bump" in his premium due to having a pellet stove.  So first of all, I never told my insurance company I put in a pellet stove.  Doing so makes sense to me now, but my hindsight is almost always 20/20.  My big question is, is having a pellet stove just cause for your insurance company to hike your premiums?


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## mark d fellows (Jan 24, 2009)

This is interesting because I had read that you weren't required to tell the insurance company about it as well as wood stoves.  Gas stoves and gas appliances are different.

I would really like to know what you find out.

Mark


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## Matt715 (Jan 24, 2009)

I have American Family and all they wanted was pictures of the stove installed with measurements to combustibles, a pic of the UL listing, and a pic of the venting. It didn't change my rates.


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## mark d fellows (Jan 24, 2009)

Mattman193 said:
			
		

> I have American Family and all they wanted was pictures of the stove installed with measurements to combustibles, a pic of the UL listing, and a pic of the venting. It didn't change my rates.



Good to know, I guess I should call them and find out.


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## Schwetty (Jan 24, 2009)

I am an insurance agent in Illinois. Please keep in mind that each insurance company and each state has different rules and regulations. So i suggest you ask your agent " what if" I install a pellet stove? will it raise my premium? What if I install it myself?

With my company, the stove must be installed by a professional and there is no increase in premium other that maybe a higher dwelling replacement coverage due to the purchase of a large ticket item. That increase would be minimal if at all.

It is my opinion that the stove must be installed by a professional so that if there is an error in installation that causes damage, the insurance company will pursue the person/business who installed it. If I install it and screw it up, I can not be held liable to myself.

So while I am shopping for a stove and hope to have on this spring/summer I must also find a professional to install it for me.


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## mark d fellows (Jan 24, 2009)

Schwetty said:
			
		

> I am an insurance agent in Illinois. Please keep in mind that each insurance company and each state has different rules and regulations. So i suggest you ask your agent " what if" I install a pellet stove? will it raise my premium? What if I install it myself?
> 
> With my company, the stove must be installed by a professional and there is no increase in premium other that maybe a higher dwelling replacement coverage due to the purchase of a large ticket item. That increase would be minimal if at all.
> 
> ...



Thank you very much, mine was professionally installed by the dealer.

mark


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## Steveo (Jan 24, 2009)

My insurance company sent me a letter with recommendations on what I should look out for when installing a wood or pellet stove but did not say to let them know about the install.


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## tinkabranc (Jan 24, 2009)

My insurance company wanted a pic of the UL listing and copy 
of the permit. No change on my premium.


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## imacman (Jan 24, 2009)

I informed my insurance company simply as a CYA......If there ever was a "problem" with the house, I don't want them to try to wiggle out of paying, claiming "we didn't know anything about it"  or "Oh, a pellet stove....you put that in and didn't inform us?  We're not paying", etc, etc.

And, yes, I have proof they know it's there....I faxed a copy of the Town Inspector's report on the install to them, and they also DID raise my rate $50/yr......that's all the proof I need....LOL!

Better safe than sorry....IMO (and no offense to Schwetty above), an insurance co. will try to find ANY excuse not to pay a claim, especially something that could be hundred's of thousands of $.


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## sydney1963 (Jan 24, 2009)

In Maine, no permit or inspection required (called fire dept).  Just let your home ins. co. know.  No pics required.  I'm sure that will change.


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## Scoop (Jan 24, 2009)

Up here in Canada You can install it yourself or have it professionally installed.  The finished installation has to be inspected by a WETT  (wood energy technician) inspector, whose report then has to be forwarded to the insurance company. My rates went up about $60 or 10 per cent because of the stove.


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## Marster (Jan 24, 2009)

My insurance company didnt raise my insurance as long as I had it professionally installed. (Which I did) No pictures or faxing anything to them. They basically told me in the event that there would be a fire, and the stove was the cause I need proof that it was professionally installed. My intaller gave me a certificate from his company. That's all I need in the event there ever is a fire. 

They didnt care if it was a pellet stove or a wood stove....just as long as it was professionally installed and I had proof.


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## www_godzilla (Jan 24, 2009)

I had the same question a month ago. I did some investigating. I first called my insurance company( Allstate). They told me if I was to get one,then I would have to do whatever the city says is code. So I called the fire department. I asked them if they would come out and check it after I installed it. They said they couldn't because I needed a building permit from the city of Portland. So I called the city of Portland building inspector. I told them I was looking into installing a wood pellet stove myself. They told me I needed a building permit if I was to do that OR If I didn't want to get a building permit then a licensed installer could do it. I decided to do it all myself. Why pay someone $700 to install my stove when it is so easy to do it yourself. Someone is always trying to get into our pockets. I'm going to pay a fireman to come and look at it and inspect it. OR have my insurance people come and look at it to determine if it is safe....which it is. If they don't then it will be time for a new insurance company.


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## nhdblfan (Jan 24, 2009)

I called mine, USAA, they asked if I wanted increase the replacment cost on my policy to add the value of the stove (I said no).I will say the girl I talked with (they are in Texas) really had no clue about a pellet stove and I,she thought it was a wood stove. I installed it myself,no permit .


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## Ductape (Jan 25, 2009)

Scoop said:
			
		

> My rates went up about $60 or 10 per cent because of the stove.




Ahhhh yesssssssss...................... and here is the scam that is insurance. Are ten percent of structure fires started by pellet stoves? I didn't think so. 

Our homeowners insurance co. charged us extra because we have wood floors vs. wall to wall carpeting. OBVIOUSLY we are much more likely to be sued due to a slip and fall on our wide pine floors vs. carpeting.


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## pastera (Jan 26, 2009)

When buying my house with a pellet stove, the insurance company wanted a copy of the inspection certificate from the local fire department.

Aaron


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## imacman (Jan 26, 2009)

Deffy said:
			
		

> .... if something happened, i make the stove disappear and it was the fireplaces fault.



Deffy, that _sounds_ good and all but in reality if the house burns, the fire dept. doesn't let anyone near it until they do their inspection to find the cause....you won't be able to go near it, let alone carry a 350 lb chunk of metal out (not too obvious).  And if they find the stove is anywhere near where the fire started, and it's not on your policy, the insurance WON"T PAY.  But, you can take a chance......


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## JBlank912 (Jan 26, 2009)

We had the stove installed by professional. Permit and passed town inspection. Then we called our insurance company, we have called them twice and requested notification in writing that we informed them of it, they have yet to send us anything, but they also said it has no affect on our homeowners policy.


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## krooser (Jan 26, 2009)

My agent sez my insurance company doesn't consider a pellet stove to be a hazard and there was no rate increase for me.


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## Alan (Jan 26, 2009)

I've replaced a wood stove with pellet...State Farm told me no change.


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## in-control (Jan 28, 2009)

Our insurance provider gave us a form to complete and as long as we provided proof that a professional installed the stove, copy of reciept, their was no change in our coverage.


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## vgrund (Jan 28, 2009)

No impact to my Amica policy and no forms to fill, assuming professional installation..


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## Drivr (Jan 28, 2009)

out insurance AllState in New Hampshire just wanted to be sure it was inspected. no rate increase.


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## Dr_Drum (Jan 29, 2009)

Deffy said:
			
		

> im not saying jack to the ins. co about the stove. i installed it next to the fireplace which they know about. if something happened, i make the stove disappear and it was the fireplaces fault.



If you already have a fire place as I do tell your insurance about the pellet stove. The fire place is a higher risk anyway. No rate increase for me. My agent just wanted me to fill out a questionnaire.
Mike -


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## trogers (Jan 29, 2009)

I have been in the insurance business for about 17 years.  I have seen claims paid when homeowners cut down a tree and it falls on thier house, when a homeowner burned his house down while tranfering gas from one can to another...while smoking, and I have seen house fires be paid out on when they are caused by someone leaving the iron or coffee pot on.  This is in addition to the countless common claims from electrical and heating systems malfunctions along with lightning strikes.  What I have not seen in all my years in the business is a legitimate homeowners claim that a comapny "tried" to deny based on a phony reason.  I'm sure that it does happen rarely.  As in all industries, there are always bad apple that can spoil the bunch...but, it's rare.  In fact, most of these stories are either urban legend, or someone who knows someone that didn't get paid...but, they usually don't have all the facts.

A good example of claims that don't get paid are the scenarios that Deffy is talking about...and, by that I mean fraud.  You see, people complain about the insurance industry in one breath, and then talk about how they will commit fraud in the next breath.  An insurance policy is a contract that spells out what will be paid in the event of a loss, and as such it is fairly easy to get claim issues resolved should problems arise.  You are, however, screwed if you get caught lying to the claims adjuster.  Oh yeah, and if catch you would probably have an issue with the police as well.

Just tell your agent or company the truth and like almost everyone on this post has said...it will be ok.  They may have to move you to another insurance company, but in the end you can sllep at night knowing that you are not risking your family's finacnial future on a plan to pick up a 300 pound piece of equipment and "sneak" out of the buring pile that was once your house.


PS.  To Ductape:  The reason for higher cost for wood floor vs. carpeting is that the replacement cost (in the event of fire or water damage) for wood floors is much higher on average than with wall to wall carpeting.  This is also the case if you add a $4-5,000 stove to your home...it becomes more valuable.  If your agant gave you the slip & fall reason...you might want find another agent.


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## Dr_Drum (Jan 29, 2009)

NH Pellet Head said:
			
		

> An insurance policy is a contract that spells out what will be paid in the event of a loss,



The only problem is that often only one party is really intended to understand this contract. 




> What I have not seen in all my years in the business is a legitimate homeowners claim that a comapny "tried" to deny based on a phony reason.



There not "phony reasons", just reasons the insured didn't know about. It's common knowledge people pay on policies for years thinking (or led to believe) they are covered when they aren't. Katrina ring a bell. Just like a good neighbor, State Farm is . . . nowhere to be found.

Mike -


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## trogers (Jan 30, 2009)

Dr_Drum said:
			
		

> NH Pellet Head said:
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Mike, you make a good point about Katrina.  Of course I agree that their were thousands of cases as a result of that loss in which the insurance companies tried to say it was flodd rather than wind, or vice versa.  My point was, and still is, that in *my experience *I have not seen these types of issues when related to homeowner claims.  Does it happen, of course.  We also hear stories about such abuses in other industries such as banking and finance, but it doesn't mean that everybody in that industry acts that way.  Also, I have found that it's very rare that homeowners even read their policy.  Many policies have many exclusions, but the aveage homeowners policy is written to a 9th grade reading level, so I am sure that if they took the time, most people would understand the lanquage.  If you are honest with your self, or if most people are honest about it, they would admit that they haven't read their policy past the declarations (1st) page. 

My point was, and still is, it is best to tell your agent about the stove so that there can be no confusion if a claim occurs.  If your agent screws up, or misrepresents that there is coverage, you can sue the agent under their Errors & Omitions policy.  Yes, agents actually buy coverage for making mistakes.  Honesty really is the best policy...


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## trogers (Jan 30, 2009)

Dr_Drum said:
			
		

> NH Pellet Head said:
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By the way...Common Knowledge, just like Common Sense - is not all that common


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## Dr_Drum (Jan 30, 2009)

NH Pellet Head said:
			
		

> By the way...Common Knowledge, just like Common Sense - is not all that common



Nicely said. :lol: 
Mike -



			
				NH Pellet Head said:
			
		

> Honesty really is the best policy...


I agree.
Mike -


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## trogers (Jan 30, 2009)

Dr_Drum said:
			
		

> NH Pellet Head said:
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I just PM'd you with a questoion about your Lopi.  Any feed back would be great.


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## Dr_Drum (Jan 30, 2009)

NH Pellet Head said:
			
		

> I just PM'd you with a questoion about your Lopi.  Any feed back would be great.



No PM received, try again?
Mike -


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## terryjd98 (Feb 4, 2009)

I called my insurance agent before I bought my pellet stove and they said my rates would go up about $200.00 a year. Also they would not cover a wood stove at all. I am in Canada and did need to get a building permit, submit a drawing of stove placement showing clearences,  windows ect. I am doing the install myself. Then need the fire chief to inspect the install and fire chief would give me a WETT certific. My insurance company is Wawanesa.


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## SusieCT (Feb 13, 2009)

Hi all,

I'm looking for advice on any insurance company that insures pellet stoves in rental homes.  If my tenant can't pay for their heat, guess what, they can't pay the rent either.  I want to give my tenants alternative fuel options, but my agency doesn't want to help me find an insurance company that will cover this in a non-owner occupied home.  Any thoughts?

(I personally think the pellet stove option is safer than a fireplace and I've never heard of a company that won't insure a fireplace in a rental home.)

Thanks for any ideas and suggestions.


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## Scoop (Feb 14, 2009)

I wouldn't be giving a pellet stove to someone to play with if they can't afford a house. With all wood appliances there is a certain amount of skill, interest and dedication needed to keep it running safe and efficiently.

And on the practical side there are no savings at the moment in burning pellets compared to other heating fuels.


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