As almost everyone has noted, if this system was ever used, it was 'old' or 'early' designs – ask yourself why it is not still in use?
Never saw one of these heaters in 35 years residence in Germany, and fitted several 'instantaneous' heaters myself in rented apartments in Germany – of course, this is no evidence that they do not exist.
Very strange statement from geechr – The products are safe because the design makes sure the electrical current, flowing from the bare wire heater to earth, is so low that it is safe. The whole point of any 'safe' system is that current is kept to a 'safe' level – the problem is, how do you ensure that? – a simple wire becomes lethal if it carries too much current (overheats, insulation melts, etc, etc) – so how do you guarantee that the current is kept low under all conditions – including potential faults? Surely no-one deliberately designs things so it is not safe (on second thoughts….
) Seems like a good reason to me for not using this system.
As for 'strategically placed earth contacts….' – presumably both at the same potential, so no current flow?
Some interesting design possibilities though……