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Had that problem with my house, spent quite a bit of time researching and learning. The stainless steel chimney liners cost $25 a foot, or at least they did a few years ago. Not hard at all to snake them down inside the old chimney yourself. Available at woodstove specialty stores near you. All manufacturers insist their metal pipe will withstand chimney fires without damage, but then also insist that the pipe must be replaced if a chimney fire occurs. They are all rated for a life of around 10 years or so. The latter is often times well buried in the fine print btw. Insulating a lined chimney is an interested area with many different arguments and rationals. There is the camp that says it's completely unnecessary. That the pipe will be fine sitting free in the old chimney That this allows some heat to get into the chimney and warm the house. That it allows the metal pipe to expand and contract. That if the pipe should leak exhaust gasses, they will freely exit up the chimney. That insulation may result in the pipe being crushed, particularly the lose vermiculite. Vermiculite packs down, and can crush the pipe at the bottom if the chimney is tall. Add in water if it can it into the chimney and you increase weight, as well rust issues, and if it freezes, the crush becomes more severe. Those that are pro insulation are also of two camps. The liquid mortar and the vermiculite and other lose fills. Claims of sealing the chimney should the pipe leak, protecting the occupants from combustion gasses. Protection from vermin entering the chimney. Increased (or decreased) thermal conductivity to the old chimney. Ease of installation (particularly the vermiculite proponents). Future repairs with either mortar or lose fill insulation is difficult to impossible. With the mortar, it's effectively impossible. The lose fill can be dropped out the bottom of the chimney and repairs to the pipe made. Many chose to abandon repairs when the chimney has been solidly insulated, treating the insulation as the chimney. This does seem to work, but many of the mortars dissintegrate when in direct contact with the acids of combustion gasses. So here's my story and decision. My house has two 4 story brick chimneys internal to the house, one on each end of the house. One used by the oil furnace, the other by the wood stove. Neither is in any danger of falling down, but both have poor mortar joints. The woodstove chimney has a teracotta liner, but it was installed improperly with conventional mortar in the joints, which has all been eaten away. I went with uninsulated metal pipe dropped into the existing woodstove chimney. The ability to inspect both sides of the pipe, the ability for gasses to rise outside the pipe should it happen to leak, the ability to make future repairs easily, and the cost of not buying insulation were all factors in my chosing the non-insulated route. The choice of pipe I made was black stove pipe. The exact same pipe you use between the stove and the wall thimble. My reasoning was that this pipe is perfectly adequate as a chimney pipe, for that is what it is. It is not as long lasting as stainless, but it is cheap and easily replaced. I installed it from the top, with the 4' sections screwed together. It was actually quite easy to do this job. The pipe is doubly mounted in that it sits on the 90 degree elbow at the bottom, and is suspended at the top from a rod going through the pipe and resting on the chimney top. The total cost of my metal chimney liner is only approximately $100. This has given me a secure metal chimney that I can (and do) easily inspect and clean on a routine basis. It has been in service for several years now, and has worked very well. I do have a CO monitor in the house, and it's readings have always been negligible during times I'm using the woodstove. I did talk to my insurance agent about this prior to installing it. My existing brick chimney was legal and I was allowed to use it. As such, my lining the chimney was an enhancement to the already existing and legal chimney. The insurance representative thanked me for doing it, and as I recall, I got a small percentage discount on my policy for doing it.
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