Wolves are low level foes encountered at level 1; at level 6 a new variety of wolves appear called 'Timber Wolves' Both are common throughout all of Cyrodiil and can be found in caves, mines, and in vampire lair (the vampires use them as guard dogs). Wolves use their bites to attack, Timber Wolves do too but inflict more damage per bite and they are larger than regular wolves. Wolves are resistant to frost and if you fight them you have a chance to get the disease Helljoint.
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