Here's one quick way to see if a Water Heater Blanket or Jacket might be right for your home. Put your hand on your water heater. Is it warm to the touch? If so, heat is escaping making the water heater less energy efficient and increasing your energy bill. In this case, a Water Heater Blanket can help.
If your water heater, especially if it's newer, is already well insulated and cool to the touch, you probably don't need to cover it. In fact, for some water heaters it could present a fire hazard.
Increased Energy Efficiency
Because a typical household uses a considerable amount of energy heating water, better energy efficiency can reduce your energy bill. Some less efficient or older water heaters let some of the heat escape and that's why it could be warm to the touch. For people using a tank water heater, a water heater jacket can keep the heat from escaping making it more energy efficient.