Do Solar Panels Increase Homeowners Insurance Costs?
Installing solar panels can save you money long term, but it could increase your homeowners insurance premium.
Sometimes a homeowner must get a new roof before solar panels can be installed. In this case, a new roof may increase the home's value and also increase the homeowners premium.
Even if your premium increases, it may be worth installing solar panels. The savings in utility bills can be greater than the increase to your premium.
Do I need to tell my homeowners insurance provider about solar panels?
Contact your insurer if you are installing solar panels to discuss:
- Appropriate coverage for your solar panels
- Impact on the value of your home
- Potential increases in coverage limits
- Eligibility for discounts or incentives for reducing energy consumption
- Compliance with the manufacturer warranty
Failing to inform the insurer that you have installed solar panels can limit your claims payout if damages occur from a covered peril, such as wind and hail.