If the water heater has a storage tank, no matter how small, and it is located where leakage would cause damage, then a drain pan is required by the International Residential Code (IRC 2801.6). So when it is installed in the living area of the home, above the ceiling, or in the attic, a pan is mandated. Also, the pan must have a pipe connected to it that drains any water to an indirect waste receptor, or to the exterior within 6-inches of the ground surface. So the 2.5 gallon under-counter water heater at right is not code compliant. Some jurisdictions consider a garage as an exception to this rule.
Also see What is an indirect waste receptor?
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Here’s links to a collection of more blog posts about WATER HEATERS:
• Are water heaters required to be raised off the floor?
• Can a Temperature and Pressure Relief (TPR or T&P) valve be mounted to discharge horizontally?
• Where are gas water heaters not allowed to be installed?
• Is the minimum size water heater inlet pipe 1/2" or 3/4" according to the building code?
• Can you use a light switch for a water heater disconnect?
• How can I tell if a water heater is HUD-approved for mobile/manufactured homes?
• Can you wire a 240-volt water heater with 120 volts?
• Is it alright to have a shut-off valve on both the hot and cold water pipes at a water heater?
• What is the minimum clearance to doors and windows for an outdoor tankless gas water heater?
• What is required clearance for access and working space in front of an electric water heater?
• What is the purpose of a thermostatic mixing valve above a water heater?
• Does a tankless gas water heater still work with no electricity during a power outage?
• Why do water heaters have a sacrificial anode?
• What is the difference between a manufactured/mobile home water heater and a regular water heater?
• Does a tankless water heater require a pressure relief valve?
• When is a water heater drain pan required?
• Why is there water in my water heater drain pan?
• What does it mean when a water heater Temperature/Pressure Relief (TPR) discharge pipe is "trapped"?
• Can I leave a gas water heater in place when remodeling a garage into a family room or bedroom?
• Where do I find the water heater in a mobile home?
• What is an FVIR water heater?
• What is a dielectric union?
• What's that powdery crust on the pipe connections at the water heater?
• What are the most common installation mistakes with water heater replacement?
• Why is my water heater making strange (rumbling, gurgling, knocking or banging) noises?
• What can I do to make my water heater last longer?
• How can I determine the age of a water heater if the serial number is missing or decoding it is impossible?
• How does a hydronic heating system work?
• What does it mean when a gas appliance (water heater, furnace, or range) has been "red tagged"?
• What's the valve with the flip-up handle on the water heater for?
• Why is an older water heater an insurance problem?
Visit our WATER HEATERS page for other related blog posts on this subject, or go to the INDEX for a complete listing of all our articles.