Is it necessary to replace an old oil tank?

Q: Do we really need to replace our 33-year-old heating oil tank? Our insurance company demands that we do, even though the tank isn't leaking and it passed a government inspection two years ago. Is there anything we can do to fight this?

A: Your insurance company does have the right to demand a new tank, and that might not be such a bad thing. There are two reasons why. Rust could be eating away at internal tank surfaces right now (probably are to a certain extent). And if a leak were to occur, it could happen with no warning. It would literally cost tens of thousands and even hundreds of thousands of dollars for the insurance company to complete a safe and thorough clean up. And since they're shouldering the financial risk of such a leak, they have every right to stipulate the terms about how your house is maintained in this regard.

As time goes on, safety regulators have come to realize that the devastation of an oil leak is extremely serious. Even chronic oil fumes from drippy fittings can make people sick. Replacing a very old tank before a leak occurs is a prudent option. It makes good sense to pay hundreds of dollars now rather than hundreds of thousands later. It might feel like you're being ripped off, but you're really being forced to take safety measures before bad stuff happens.