Solar Panels and Your Home Insurance Policy

Considering going solar or already installed them? You are not alone. Did you know that Massachusetts is one of the top solar installation states in the country? There are many pros and cons to using solar in your home, and deciding what works best for you is a personal choice, but if you decide to go with solar here are a few things you should know regarding your home insurance.

-Some leased panels are insured by the company installing them and require no additional coverage from the homeowner. Some companies transfer the risk of the leased panels to the homeowner and you would need to insure them yourself. If you are leasing your panels it is important to be clear which category you fall into.

–If you own your solar panels and they are attached to your house, insurance is automatically included in your policy under the dwelling/structure coverage. You should mention this add on to your insurance agent however, to make sure that the current coverage limit is high enough to cover them.

–If you own your solar panels and they are free standing on your property you will still have coverage on your policy, but this time the panels fall under a coverage that covers things like your garage and fence. If you have a claim on the panels they might be covered based on the depreciated value, which might not cover the cost to install a whole new system. Again, let your Insurance Agent know that you have these additional items to make sure your current coverage is enough.

-With New England winters being so harsh, some insurance companies may want you to install Ice Dam mitigation precautions like attic insulation and electric coils to your roof before installing panels. Especially if your home has a history with Ice Dams. It’s always good practice to notify the company and follow their advice, it makes any future claim dealings much faster and easier.