Homeowners insurance and solar panels

RandomJoe
RandomJoe Solar Expert Posts: 472 ✭✭✭
in General Solar Power Topics #1
I'm curious how others' homeowners insurance handles solar panels. If covered, what kind of premium bump did it cause? Or are the not covered?

My panels being more of a hobby for me than anything else, I don't really care if they are covered. If the premium bump isn't much, perhaps that's worthwhile - we do have hail fairly often here. (Somehow I've been lucky to miss the Really Big Stuff the past few years!)

This comes up now because my agent came around for a "random inspection" the other day. When he saw the panels he said they wouldn't be covered, and I said fine. Now the adjusters are apparently including them - but valuing them at $30,000! The email from the agent suggested that's only for the panels themselves, in which case my cost was only $6,000. I don't have anywhere near $30k even for the entire system, think I'm right around $10k total.

So just curious what sort of effect others saw on their policies after adding panels, to get an idea if they're skewering me when the new policy arrives. (I don't trust insurance companies farther than I can throw them... Unfortunately I'm not independently wealthy yet :D so they are a necessary evil... *sigh* )
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  • rollandelliott
    rollandelliott Solar Expert Posts: 834 ✭✭
    #2
    Re: Homeowners insurance and solar panels

    geico wouldn't cover the panels at all, nor the home if they were on the roof.

    travelers treated the ground mount as a accesory structure fully insured.
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  • solarvic
    solarvic Solar Expert Posts: 1,071 ✭✭✭✭
    #3
    Re: Homeowners insurance and solar panels

    My policy climbed up $31 per year when I added my $28,ooo.00 tractor and $30,000.00 solar system on pole mounts. In PA. plus some other extra,s. :Dsolarvic:D
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  • tmarch
    tmarch Solar Expert Posts: 143 ✭✭
    #4
    Re: Homeowners insurance and solar panels

    My system is on a garage and it is insured for the added value to the garage (I tell the insurance co what I want it insured for) for the same premium as the building ($112 annually for $1000 of the value).
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  • solar_dave
    solar_dave Solar Expert Posts: 2,397 ✭✭✭✭
    #5
    Re: Homeowners insurance and solar panels

    Travelers covered mine but I had to declare the value. Bump in premium was only a few dollars. I do suggest you get them covered, not declaring them may cloud your claim for fire, especially an electrical fire. A fully permitted install will go a long way with the insurers.

    BTW my panels survived some golf ball sized hail no issues. Man I was worried at the time, but I still had about a $6000 claim for other damage. It just goes to show how rugged the panels really are.
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  • BilljustBill
    BilljustBill Solar Expert Posts: 219 ✭✭✭
    #6
    Re: Homeowners insurance and solar panels

    A local State Farm agent said if the outbuilding they are on is covered, the panels/equipment are covered. When I asked about a ground mount with 20 panels that ran it's power back to the insured/extra ryder outbuilding. The final answer came in two parts: 1. They all would be covered...but 2., they wanted to see the system after I get it installed for a final answer.... When completed, it will be an off grid, 24v system between 3.5KW and 4.3KW. In three phases, it begins with ten 60w Kaneka panels on the outbuilding roof and 20 panels on a fixed ground mount, 16 Kyocera 135w panels on a large tracker, and 12 new and used panels on another ground mount...

    By the way, in our region of Texas, their basic insured value for an outbuilding is based on $50 per sq. ft.
    Bill
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  • solarvic
    solarvic Solar Expert Posts: 1,071 ✭✭✭✭
    #7
    Re: Homeowners insurance and solar panels

    Nothing too hard about getting insurande on your solar system. Just call your agent and he can quote the coverage and cost. In my case it was a small addition to my premium. :Dsolarvic:D
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  • solarvic
    solarvic Solar Expert Posts: 1,071 ✭✭✭✭
    #8
    Re: Homeowners insurance and solar panels

    In my previous post I replied to a post and the post I replied to vanished. To billjustbill. I used to have statefarm in Pa and got rid of them about 10 years ago because of thier high premium cost. Travelers is about half the cost for me. :Dsolarvic:D
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  • Cariboocoot
    Cariboocoot Banned Posts: 17,615 ✭✭✭
    #9
    Re: Homeowners insurance and solar panels
    solarvic wrote: »
    In my previous post I replied to a post and the post I replied to vanished. To billjustbill. I used to have statefarm in Pa and got rid of them about 10 years ago because of thier high premium cost. Travelers is about half the cost for me. :Dsolarvic:D

    That post vanished because it was what is known as "link spam". ;)
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  • BB.
    BB. Super Moderators, Administrators Posts: 33,613 admin
    #10
    Re: Homeowners insurance and solar panels

    Vic, that was a spammer out of Philippines advertising insurance.

    -Bill
    Near San Francisco California: 3.5kWatt Grid Tied Solar power system+small backup genset
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  • solarvic
    solarvic Solar Expert Posts: 1,071 ✭✭✭✭
    #11
    Re: Homeowners insurance and solar panels

    Yes I thought it was a stupid question as most people just talk with thier agent. I know there are websites like that as my daughter just used one. to buy insurance. She had All state which decided to raise thier rates at least %30 too make more profit. She got quotes from a bunch of insurance companys. The best rate she got was from Farmers insurance based in CAlafornia . They are just starting to insure in Pa. and saved her over $1000.00 on her home owners and auto coverages. There isn,t very many agents yet. All of them are located in the Southwestern area of pa and her closest agent is about 75 miles. I would like any comments from you people that have this company for your insurer. :Dsolarvic:D
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  • BilljustBill
    BilljustBill Solar Expert Posts: 219 ✭✭✭
    #12
    Re: Homeowners insurance and solar panels
    solarvic wrote: »
    In my previous post I replied to a post and the post I replied to vanished. To billjustbill. I used to have statefarm in Pa and got rid of them about 10 years ago because of thier high premium cost. Travelers is about half the cost for me. :Dsolarvic:D

    Solarvic,

    I've stayed with State Farm because of the letter I got from them six or seven years ago. It said that I'll never be dropped by them. This is a good thing. As just last year, and I don't know the company, but one couple had a person open a wooden gate and walk into their back yard and was attacked by their mean German Sheppard. His hand had to have surgery and more issues of loss of wages, etc., came up during the year. When the insurance company finally settled, a week later it sent a notice of nonrenewal and dropped the couple. As an added note: When the couple finally found a company that would insure their house, the cost was super high, and the company would not offer them liability coverage for injury on their property...

    The other thing was when the hail storm hit with 30 minutes of golf ball size hail hit my house back in 2008. When I paid the extra replacement cost upgrade of the "Hail Resistant" lifetime "Armor Shield II" asphault shingle, the insurance company reduced my homeowner's policy by by 1/3rd; $503 a year. Plus, if/when there is another bad hail storm, I won't have to pay that extra cost again. The fair and nice thing the insurance agent did was that when the roof was put on in October, and the renewal date was not until the following April, they went back and gave me six months of credit which was for each month the new shingles were on.

    I guess it is all in spending the time to sit down with your insuance agent to learn what to do to reduce the cost of coverage, yet getting the same or better coverage for the money...
    Bill
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  • solarvic
    solarvic Solar Expert Posts: 1,071 ✭✭✭✭
    #13
    Re: Homeowners insurance and solar panels

    Billjustbill I had state farm for many many years and they always gave me quick settlements on my claims. I just got disquisted with them in the high amount they charged me for a taurus Sho car I had insured with them. I got all my 3 vehickles insured for $300 less per year than what state farm charged me for the taurus and increased the liability coverages. I kept the snowmobile and motorcycle with state farm as they were reasonable and travelers didn,t cover those 2 items. I think having a good agent is advantageous also. Most of the large insurance companys has more than one division they can insure you thru and can get the best deal for you if they want to.My agent switched me to the home and marine division last year and Got me coverage on 1 new car and 2 older ones for about $40 more than I previously was paying on 2 vehickles that didn,t have colission. My brother who has the same co but different agent told my brother she never heard of the division I got put in. So goes to show you that some agents are better than oothers and if you have a good agent, keep him on his toes to save you money. You have to ask for better deals or you won,t get them. solarvic
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  • RandomJoe
    RandomJoe Solar Expert Posts: 472 ✭✭✭
    #14
    Re: Homeowners insurance and solar panels

    Well, that turned out better than I thought...!

    Got a call from the insurance agent this evening, and he said first that he had been wrong - insuring the panels was NOT optional. The underwriters said anything that is permanently attached to the house must be covered by the homeowners' policy. Okay...

    He also said the underwriters accepted my valuation, apparently their software hasn't kept up (er... down?) with the current cost of solar panels. So they set the value at $10,000, and the cost will be $60/year. Not bad, as much large hail as we've had around here lately I figured it would be much higher.

    Hopefully now I'll never need the coverage...! :D
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