Heat and Mass Transfer
Moisture would find its way into insulation by vapour pressure unless it is prevented by

High thickness of insulation
High vapour pressure
A vapour seal
Less thermal conductivity insulator

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Heat and Mass Transfer
A steam pipe is to be lined with two layers of insulating materials of different thermal conductivities. For the minimum heat transfer,

The better insulation must be put inside
One could place either insulation on either side
One should take into account the steam temperature before deciding as to which insulation is put where
The better insulation must be put outside

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