Heating water consumes 14 percent of the average single-family home’s energy bill, according to the U.S. Department of Energy. While some hot water heaters already have insulation in the interior of the tank, sometimes more efficient insulation is needed. Fortunately, improving water heater insulation is easy, and can save you money on your energy bill.

Short of installing a solar hot water heater, improving water heater insulation with a water heater blanket and water pipe insulation are the best options for energy-conscious homeowners. It’s relatively simple and inexpensive to install new insulation. The U.S. Department of Energy reports that improving water heater insulation can reduce heat loss by up to 45 percent.

Installing a Water Heater Blanket

A water heater blanket is a roll of insulation that fits around an existing hot water tank. Hot water heaters are designed to hold a tank of water at a constant temperature so that when hot water is needed, it’s instantly available. However, many hot water tanks, especially older models, are not well insulated. Installing a water heater blanket increases the R-value and insulating abilities of the tank.

It’s relatively easy to install a water heater blanket, particularly if you purchase a pre-cut model. When installing a water heater blanket, be sure to follow the manufacturer’s instructions. Make sure you leave temperature controls and other valves exposed and use extra caution if you have a gas water heater, as improperly installed insulation can create a fire hazard.

Remember that some hot water heater manufacturers prohibit the use of a water heater blanket on their heaters, as it voids the warranty. Read your water heater’s instruction manual before you improve home insulation here. You’ll want to make sure that you’re not violating a warranty, and opting out of future customer service on your heater.

Water Pipe Insulation

In addition to installing a water heater blanket, you can also install water pipe insulation. Improving home insulation on your water pipes increases the ability of the pipes to maintain the temperature of your hot water. This helps decrease water waste by keeping hot water warmer longer and reducing the amount of time you must run the tap to get hot water.

Water pipe insulation is simple to install. However, due to the amount of plumbing in a typical home, it’s often best to hire a contractor if you want to improve home insulation on all pipes. Water pipe insulation comes in strips that slip over the piping and are secured in place with tape, wire or a clamp. Water pipe insulation is available in a number of thicknesses, and can be made from fiberglass or foam, depending on the temperatures it’s designed to withstand.

Before installing insulation, make sure to measure the diameter of the pipe. Loose-fitting insulation will reduce your energy savings. Generally, it’s a good idea to insulate all accessible pipes. If you decide not to insulate all pipes, at a minimum, you should insulate the pipes leading away from your hot water tank.