Things that can make a house hard to insure

Your lender will not fund a house you cannot insure. Most buyers think about insurance as a formality near closing. On some houses it is the thing that decides whether you close at all.

None of these means do not buy. They mean find out early, while a condition still protects you.

Electrical

Knob and tube wiring in older homes. Many insurers refuse outright, others require full replacement within a set period. Aluminum wiring, common in houses built roughly 1965 to 1975, usually needs remediation by a licensed electrician before an insurer will write it. Fuse panels and undersized service can also draw a no.

Oil tanks

Above ground and especially buried. Age, condition and certification all matter, and a buried tank raises environmental questions that go well beyond the insurance policy. Find out whether one exists, including one that was decommissioned and left in place.

Roof

Insurers ask how old it is. Past roughly 15 to 20 years on asphalt shingles you may get a limited policy, a higher premium, or a requirement to replace it within a year.

Wood stoves and fireplaces

A wood-burning appliance usually needs a WETT inspection and certification. An uncertified stove is a common and very fixable reason for a decline.

Water

Previous flooding, a history of water claims, no backwater valve in an area that needs one, or a sump pump on its last legs. Claims history follows the property, not just the owner.

Vacancy and rentals

A home that has been empty for months, or one with a rental unit, changes the policy you need. Tell your broker what is actually there rather than what the listing says.

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Written by Mike Elsey, Broker, Royal LePage Real Estate Associates, Brokerage. General information about the process in Ontario, not legal, financial, tax, insurance or inspection advice.