Solar panels represent a significant investment not only for your home energy needs and consumption but also for the environment. Therefore, it’s imperative to protect your solar panels with insurance coverage. After all, we have no control over nature, and while extreme weather may wreak havoc on them, having them covered by your home insurance can save you significant repair costs.
If you’re a homeowner preparing to install solar panels in your home, it’s crucial to determine whether your home insurance covers your solar panels. Keep reading to learn: are solar panels covered by home insurance?
Does Home Insurance Cover Solar Panels?
Yes! Unlike other states that are at risk of extreme weather conditions, such as Florida, it’s unlikely for home insurance companies to refuse to cover your solar panels in Arizona. Solar panels are covered through your home insurance coverage since they’re attached to your home. This coverage only covers your solar panels after installation rather than during installation.
However, you need to know some things, such as whether it increases your home insurance rates and to what extent it might cover. Also note that home insurance coverage exempts solar panels that aren’t attached to the home, such as ground-mounted panels. These panels are usually covered under a separate structural coverage.
Factors that Influence Home Insurance Solar Coverage Premium in Arizona
Solar panels can impact your home insurance policies in various ways. Most home insurance companies vary their premium according to the cost of replacing the solar panels in case of fires or natural disasters. However, the exact reason varies according to their policies. Here are other factors that may influence your premium:
Leasing Your Solar Panels
Most home insurance companies don’t cover leased solar panels. However, you should ask your solar company about this since some can insure the panels, while others may require you to purchase an additional policy to your existing home insurance policy. Others may require you to buy separate solar panel insurance from the company.
Severe Weather Conditions
While Arizona doesn’t experience severe weather conditions, like storms and hurricanes, some of its areas are at risk of wildfires. Therefore, if you live in these areas, your insurance company may require you to pay additional rates on your home insurance company due to the risk these areas pose.
Maintenance & Warranties
Your home insurance provider may need to know about your solar panels’ warranties and maintenance policies. Regular inspection, maintenance and adherence to these regulations demonstrate you’re a responsible homeowner and can potentially help lower your insurance policy.
When Might You Need Supplemental Insurance for Your Solar Panels?
Some situations warrant buying a separate insurance policy or adding coverage to your solar panels. For instance, if your solar panels are not attached to your home, whether in the yard or carport, you may need to purchase separate coverage.
Your insurance company may also require supplemental insurance if you have enough solar panels to merit separate coverage. Some insurance companies may require you to buy liability coverage, although the possibility of potential solar panel-related risk is extremely low.
Learn More About Solar Panels Home Insurance Coverage With Solar Optimum
Like any other valuable asset you may have, ensuring your home insurance covers your solar panels should be a priority while installing them in your home. With Solar Optimum, you can rest assured that you’ll get solar panels that suit your needs and assistance to get them covered by your home insurance company.
Our energy consultants are knowledgeable in all things solar related, serving those in Maricopa County and the Greater Phoenix area. Contact us to learn more about protecting your solar panel, or download our Ultimate Guide to Going Solar.
