How much are solar panels and are they covered by my home insurance?

Clients are asking this solar panels impact on home insurance question, so I decided to answer it in this short blog post.

CA Solar Costs and insurance impact
Table credit to Forbes Home – Solar Panel Costs 2024: by State (Only CA shown here)

Solar Panels

As you probably know solar panels are devices that convert sunlight into electricity. They can help you save money on your energy bills as well as reduce your carbon footprint. Installing solar panels can also be a significant investment, so you may want to know how much they cost, and how solar panels impact on home insurance cost.

According to Forbes, the average cost, savings and breakeven period of solar panels in CA in 2024 is tabulated above.

Across the U.S. cost ranges between $17,350 and $38,000, depending on where you live and before applying incentives. Cost per watt of solar panels is usually between $0.90 and $1.50. The average size of a residential solar system is about 6 kilowatts. Solar panel cost depends on:

  • the type and model of the panels
  • the installation/labor fees
  • the equipment
  • any permits required

Home Insurance and Solar Panels

With respect to your home insurance, most insurers extend coverage to solar panels. This usually applies if any claimed damage is caused by a covered peril, such as fire, wind, hail, or lightning. Solar panels are generally considered part of your home under your home insurance coverage, especially if they are roof mounted. However, some policies may exclude or limit coverage for solar panels or charge higher premiums for them. Therefore, please call us to check your home insurance coverage before installing solar panels in case you need to update your policy.

Call me for a Coverage Review and Quote on your personal or HOA insurance.

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