Commonly found in home over 50 years old of age, consists of parallel hot (black) and neutral (white) wires, separated by knobs (or insulators) and ceramic tubes. It is considered a higher risk than contemporary wiring installations manly because there is no ground wire. Given their age, wires are highly susceptible to wear and exposure, presenting a serious safety hazard. The unintentional contract of hot and neutral wires may potentially cause an electrical fire.
As a result, your insurance company may require that you replace all exposed knob and wiring with approved permanent wiring material before they will provide coverage. Updating wiring can cost thousands of dollars.
Get a proper estimated by licensed electrician before confirming an offer on a property, and remember to budget for costs for cosmetic repairs to drywall.
Courtesy of Henry Heczko- Equity homes Niagara.