Farmington owner Michael Deschenes contacted 8 Investigates in March after having difficulty updating his insurance policy. Deschênes, a 30-year veteran in the HVAC industry, told an insurance company he planned to disconnect his oil tank and replace it with a heat pump and pellet stove. Kyes Insurance, based in central Maine, informed Deschenes that it could not offer him insurance. “I won’t be able to place you anywhere because our insurance companies don’t consider mini-splits or pellet stoves as primary heating,” an agent wrote in an email to Deschênes. “It drove me downright crazy,” Deschênes said. Deschênes plans to take its oil furnace offline and instead heat its approximately 1,400 square foot main floor with a 25,000 BTU ductless mini-split heat pump supplemented by the pellet stove as needed. Tobie Stanger, editor of Consumer Reports, says this is the first time she’s heard of an insurer denying coverage for these reasons. “The risk for the insurer from his point of view is that if you don’t have enough heat and your pipes freeze and they break inside your house, that’s a claim,” said she declared. Stanger added that as mini-split heat pumps are used more and more, it’s possible this practice will happen more often. Whether a mini-split heat pump can be used as a home’s primary heat source is a question that many potential buyers may have. A Maine Efficiency analysis at the state’s Utilities Commission assumes they are installed in a space, “where it will be used to supplement a central heating system.” The report also states that one of the most popular models purchased in Maine reports operating in minus 15 degrees. When in doubt, Stanger says buyers should have a discussion with insurance agents and be honest about the plans. She also recommends considering a higher deductible to save on premiums. Stanger also suggests people look for state and local incentives. “There are state incentives where I live to remove the entire boiler system and there is a risk of that happening. Sometimes it’s a better idea to stick with that just to be on the safe side,” Stanger said. Deschênes said he was confident in his work and thought his newly purchased pump was good enough. “If it’s an older house that might get drafty, you could have a frozen pipe, because mini split heat pumps aren’t going to heat every corner of the house. There’s nothing wrong with this little house,” Deschênes said. Deschênes has found another insurer and plans to leave his oil tank in place, but does not plan to use it. Kyes Insurance did not respond to a request for comment.
Farmington owner Michael Deschenes contacted 8 Investigates in March after having difficulty updating his insurance policy.
Deschênes, a 30-year veteran in the HVAC industry, told an insurance company he planned to disconnect his oil tank and replace it with a heat pump and pellet stove.
Kyes Insurance, based in central Maine, informed Deschenes that it could not offer him insurance.
“I will not be able to place you anywhere because our insurance companies do not consider mini-splits or pellet stoves as primary heating,” an agent wrote in an email to Deschênes.
“It drove me downright crazy,” Deschênes said.
Deschênes plans to take its oil furnace offline and instead heat its approximately 1,400 square foot main floor with a 25,000 BTU ductless mini-split heat pump supplemented by the pellet stove as needed.
Tobie Stanger, editor of Consumer Reports, says this is the first time she’s heard of an insurer denying coverage for these reasons.
“The risk for the insurer from his point of view is that if you don’t have enough heat and your pipes freeze and they break inside your house, that’s a claim,” said she declared.
Stanger added that as mini-split heat pumps are used more and more, it’s possible this practice will happen more often.
Whether a mini-split heat pump can be used as a home’s primary heat source is a question many potential buyers may have.
A Maine Efficiency analysis at the state’s Utilities Commission assumes they are installed in a space, “where they will be used to supplement a central heating system.”
The report also states that one of the most popular models purchased in Maine works down to minus 15 degrees.
When in doubt, Stanger says buyers should have a discussion with insurance agents and be honest about the plans.
She also recommends considering a higher deductible to save on premiums.
Stanger also suggests people look for state and local incentives.
“There are state incentives where I live to remove the entire boiler system and there is a risk of that happening. Sometimes it’s a better idea to stick with that just to be on the safe side,” Stanger said.
Deschênes said he was confident in his work and thought his newly purchased pump was sufficient.
“If it’s an older house that might get drafty, you might have a frozen pipe, because mini split heat pumps aren’t going to heat every corner of the house. There’s no problem with this little house,” Deschênes said.
Deschênes has found another insurer and intends to leave his oil tank in place but does not intend to use it.
Kyes Insurance did not respond to a request for comment.