Are My Solar Panels Covered by Homeowner’s Insurance?
Solar panel installation can be extremely expensive, but can benefit you in multiple ways. They can also be damaged and you’ll want to make sure they’re covered if that occurs. Replacing or repairing solar panels can represent a considerable expense if they’re not covered by insurance.
Most homeowner’s policies will cover damage to your solar panels with no separate policy required, if they’re mounted to the roof. They’re considered a permanent attachment, much like a garage, security system, balcony or patio.
Ground-mounted solar panels or solar carports and garages may require a separate policy or rider to an existing policy to cover potential damage. It will depend on the insurer and the language of your insurance policy. Be aware that some policies exclude damage resulting from specific causes, such as wind, no matter where the panels are mounted.
Many solar panel companies offer leasing services that eliminates the upfront costs of purchasing and installation. They also offer insurance on the panels. Read any agreement carefully. Your homeowner’s policy may limit coverage if you insure the panels through the leasing company since you’re actually not the owner of the panels. It’s a good idea to consult with your agent on specifics.
It’s important that you inform your insurance company about the installation. You may have to increase your home coverage limits, which will result in higher monthly premiums. You may also need to decrease your deductible – the portion of the cost that you pay before insurance takes over – to minimize your monetary liability.
An increasing number of people are installing solar panels to save money, as an eco-friendly solution, and investment in their home. The initial installation is expensive, but the panels can pay for themselves over the long-term and increase home value. It’s a significant investment and it’s a good idea to consult with your insurance company about coverage options before installing them – or consider a different insurer.
For more information about how The Sena Group can help you with any
of your insurance needs, please contact us at 561-391-4661.
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The Sena Group
6501 Congress Ave., Ste. 100
Boca Raton, FL 33487
