In the early 1950s, homeowners were looking for a compact and easy-to-install electrical panel alternative that wouldn’t break the bank. So when Federal Pacific Electric (FPE) introduced their Stab-Lok electrical panels to the market, it was no surprise when they quickly gained popularity across the United States and Canada.

Fast forward to today, and FPE Stab-Lok panels are widely recognized as a red flag for home inspectors, electricians, and insurers alike. But what led to this poor reputation among industry professionals? And more importantly, is the concern justified?

The Importance of Electrical Breakers

Every building that receives electricity from a power line needs an electrical panel to distribute electricity throughout the property and to shut it off in the event of an overload. Most families are familiar with these situations–someone turns on the vacuum while the hair dryer, TV, or space heater are on in the other room, and suddenly the lights go out (followed by a debate about who tripped the breaker this time, of course).

While it might seem like a frustrating inconvenience in the moment, this is actually one of the electrical panel’s most important functions: preventing electrical fires. When a breaker fails to trip during an overload, the circuit continues to carry more current than it’s designed for, making it prone to overheat. An overheated breaker leads to damaged components, melted wires, and, in the worst cases, fire.

Note: Inspectors can use infrared cameras to develop thermograms during an inspection to spot overloaded circuits and other electrical hazards. Learn more about the benefits of thermography during an inspection right here!

Breakers that fail to trip are a major concern for inspectors because it compromises occupant safety and can lead to major damages. This is why many homeowners upgrade and replace old breakers soon after moving in. With the right tools, switching out a breaker can be a straightforward task. However, in some instances, a new breaker will not resolve the underlying problem.

The Problem with FPE Stab-Lok Panels

Federal Pacific Electric’s Stab-Lok panels were widely adopted in suburban neighborhoods from the 1950s through 1990 across the US. They were also widely used in Canada during this time period under the name Federal Pioneer. It was their low price and compact design that made them a popular choice for families everywhere. Over time, however, official investigations began to link these panels to a series of residential fires.

Initially certified by Underwriters Laboratories (UL), a leading global authority on electrical safety testing, Stab-Lok breakers were later de-listed after testing revealed a dangerously high failure rate. While standard breakers are designed to trip in under two minutes when the current exceeds 135% (beyond 15-20 amps for the average residential breaker), approximately one in three FPE Stab-Lok breakers failed to trip at all. For more detailed findings, see J. Aronstein’s article, “Hazardous FPE Circuit Breakers and Panels.”

Despite being appropriately de-listed, a New Jersey class action lawsuit in 2002 revealed that Federal Pacific knowingly manufactured and sold these breakers anyway for decades, fraudulently labeling them as compliant with UL standards. Due to this misinformation, many homes in the US and Canada built prior to 1990 still have FPE Stab-Lok panels and breakers to this day.

What Should Homeowners Do?

Although Federal Pacific is no longer a public-facing company and new Stab-Lok panels are no longer manufactured, replacement breakers remain on the market. As a result, many homeowners unknowingly continue to rely on outdated, non-compliant, and potentially hazardous electrical panels. Insurance companies today may deny coverage or raise premiums solely due to the presence of Federal Pacific Stab-Lok panels (for more on the insurance perspective, see insights from Bryan Emanuel at Harbor Insurance).

Today, both Federal Pacific and Federal Pioneer Stab-Lok panels are consistently flagged by home inspectors as requiring further evaluation by a licensed electrician. If your home has an FPE-labeled electrical panel, it’s strongly recommended that you consult an electrician as promptly as possible to assess its performance and condition and discuss replacement options.

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