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While many older homes don’t need hot water heater expansion tanks, they’re necessary in most newer homes and are required by building codes. These tanks are required by code in areas where there are backflow preventers or pressure regulators on the incoming water pipe between the public water pipes and the water heater. However, tankless water heaters don’t require expansion tanks.

If your system is not vented properly, you could experience what’s called backdrafting. Backdrafting is when your ventilation system isn’t working as it should, and instead of releasing gases outside, they get trapped inside your home. 

Gas and propane water heaters create a few types of combustion gases, but the most dangerous is carbon monoxide. If there’s too much build-up of these gases inside your home, it can lead to carbon monoxide poisoning.

Yes, you can replace a current tank water heater with a tankless model or vice versa. If you’re maintaining the same fuel source—gas or electricity—the switchover should be smooth. A conventional tank requires open floor space, while a tankless model can be wall-mounted. If you’re switching to a tank water heater, you might need to clear space for it. Gas-powered tankless water heaters need a large volume of gas when they start running to heat the water instantly. You might need to increase the size of the gas line when going from a tank to a tankless model.

Homeowners' insurance covers water heaters under certain circumstances. If your water heater is damaged due to a covered event, like a fire or burst pipe, your policy may pay for repairs or replacement. However, insurance won’t cover wear and tear, old age, or neglect. If a malfunctioning water heater causes water damage, your policy may help with cleanup and repairs, but not fixing or replacing the heater itself unless the damage resulted from a covered event.