Many insurance companies are wary of covering electrical panels from certain manufacturers, including Challenger, due to safety concerns:  

Federal Pacific: Linked to many electrical fires due to faulty design and manufacturing 

Zinsco: Known for internal connection failures in circuit breakers that can lead to overloading, melting, arcing, and possible fire 

Sylvania/Sylvania GTE: Considered unsafe and potentially ineligible for insurance coverage 

Pushmatic: Considered unsafe and potentially ineligible for insurance coverage 

Homeowner's insurance usually covers electrical panel upgrades if the panel is damaged, but not if it's old and outdated. If you have a Challenger panel, you should consult a licensed electrician to assess your electrical system and determine the best replacement options. You may need to replace your Challenger panel if you see: 

Challenger stamped on the handle or door

Challenger on the manufacturer's label

Circuits with yellow buttons and the word “test” on one side

Challenger

During the 1980s and early 1990s, Challenger electrical panels were installed in hundreds of thousands of homes, but they were recalled in 1988. That recall specifically focused on Challenger panels with 15- and 20-ampere circuit breakers made between February and April of 1988 that have a mechanical component that can detach leading to overheating, melting, and fire.

Unfortunately, problems with these panels continued even after Eaton/Cutler-Hammer purchased the Challenger. In 2014, Eaton/Cutler-Hammer recalled 1,000 panels because their easily accessed components presented a shock risk.

Electrical panel safety tips

Do not remove your panel! Your panel should only be maintained by a licensed electrician. But it is smart to look for signs that yours needs to be replaced, like:

Rust.

Corrosion.

Evidence of melting.

Pest damage.

Poor panel access.

Nearby water or condensation.

Any of these could indicate that you should leave your electrical panel alone and call a professional electrician. The same is true if you hear popping or crackling noises. Moreover, if you feel a tingle or charge when you touch your electrical panel, back away and call a professional.