You’re spending $15,000–$30,000 on a solar system. One hailstorm, fallen tree, or electrical surge shouldn’t wipe that out. Here’s exactly how insurance works for solar — and the gaps most homeowners miss.
Thank you for reading this post, don’t forget to subscribe!Does Homeowners Insurance Cover Solar Panels?
Yes — in most cases. If your panels are permanently attached to your roof, they’re typically covered under your home’s dwelling coverage (Coverage A). This covers damage from fire, hail, wind, lightning, and falling objects. The catch: your coverage limit must be high enough to include the added value of your system.
What’s Covered vs. What’s Not
| Scenario | Typically Covered? |
|---|---|
| Hail damage to panels | Yes — dwelling coverage |
| Fire damage | Yes — dwelling coverage |
| Theft of panels | Yes — if personal property coverage applies |
| Flooding | No — requires separate flood insurance |
| Earthquake damage | No — requires separate rider |
| Normal degradation | No — that’s what your warranty covers |
| Inverter failure (no event) | No — covered by equipment warranty |
Ground-Mounted Systems — Different Rules
Ground-mounted panels are NOT attached to your home, so they may not fall under dwelling coverage. They’re more likely covered under ‘other structures’ (Coverage B), which is usually capped at 10% of your dwelling limit. If your system is large, that cap may not be enough — ask your insurer directly.
3 Things to Do Before Installing
1. Call your insurer: Notify them before install. Some require a policy update or inspection. Failure to notify can result in a denied claim.
2. Increase your dwelling coverage: Add the full replacement value of your solar system to your coverage limit. A $20,000 system means your limit needs to be $20,000 higher.
3. Ask about equipment breakdown riders: Some insurers offer add-ons that cover inverter failure or electrical issues not caused by a covered event.
Will My Premiums Go Up?
Usually slightly — because your home’s value and replacement cost increased. Expect a modest bump of $50–$150/year depending on your system size and insurer. Some carriers that specialize in green homes (like Hippo or Openly) are more solar-friendly with pricing.
FAQ
Do I need a separate solar panel insurance policy? Usually no — but you might if your standard policy limits are too low or your insurer excludes solar. Some specialty insurers offer standalone solar coverage.
What if my leased panels get damaged? If you lease, the solar company owns the panels — they carry their own insurance. You’re generally not liable for damage, but check your lease agreement.