Does Homeowners Insurance Cover Solar Panels? What to Check
Summary
Do not assume solar panels are covered by your homeowners policy. The NAIC advises checking with your insurer before installation because coverage varies. Confirm the equipment covered, applicable limits, deductibles and exclusions in writing, including who insures a leased or PPA system.
Confirm coverage before installation
The NAIC recommends checking your insurance obligations with your state insurance department and then asking your agent or insurer whether coverage extends to the installation. If it does not, the department can help identify an insurer authorized to offer that coverage in your state.
The cited NAIC guidance dates from 2017 and 2020. It is a starting point for questions, not a determination of what a current individual policy covers.
Questions to put to your insurer
| Question | Answer to record |
|---|---|
| Which equipment is covered? | Panels, inverter, mounts and any battery; identify omissions |
| Which policy section applies? | Ask separately about rooftop, ground-mounted and carport equipment |
| What limits and deductibles apply? | Obtain amounts and any solar-specific endorsements |
| Which events or losses are excluded? | Ask the insurer to explain relevant policy exclusions |
| How is replacement valued? | Confirm the valuation basis and whether policy limits need to change |
| Who insures leased or PPA equipment? | Confirm responsibilities with both insurer and system provider |
Check the ownership and utility contracts
For a lease or power purchase agreement, review the provider's insurance and maintenance responsibilities rather than assuming the homeowner must insure every component. The FTC also recommends asking what happens if the roof needs repair after installation.
If electricity will be exported, check the utility agreement for insurance obligations. DOE notes that the utility may require additional liability insurance. Ask whether existing coverage satisfies the actual agreement; do not assume a standard amount is sufficient.
Keep the coverage answer with your policy
Retain the insurer's written response and any amended policy or endorsement. Check that the documented equipment, installation location and ownership arrangement match the system being installed.
For the effect on your premium, use the separate cost guide linked below. It explains how to request comparable before-and-after quotes without assuming an average increase.
Sources
- NAIC — Environmentally-Friendly Insurance (2017)
- NAIC — Going Green? Make Sure Your Insurance Covers Your Environmentally-Friendly Decisions (2020)
- U.S. Department of Energy — Grid-Connected Renewable Energy Systems
- Federal Trade Commission — Solar Power for Your Home
This guide summarizes the linked public guidance. Coverage and premiums depend on the current policy and contracts; confirm them with your insurer. It is not individualized insurance advice.