Everywhere you look these days, solar panels are popping up on rooftops. Solar panel companies have been making a big push in New England, with many sales people go door-to-door to get homeowners to sign up. If you’re considering adding solar panels to your home, you may be wondering how solar panels affect homeowners insurance in MA. This information may help.
Insurance Coverage for Solar Panels
Whether solar panels affect homeowners insurance in MA depends partly on whether you are renting or purchasing the panels. If you are renting, the solar panel leasing company often provides insurance coverage of their own. Ask your representative about this to verify. If you are purchasing the panels, then you will need to purchase your own coverage.
Homeowners insurance in MA is priced based on the amount of coverage needed (also referred to as the coverage limit). Thus, if you have a $300,000 home, your insurance will cost less than if you have a $700,000 home. When adding solar panels to your home, you may need to increase your coverage limit to include the replacement value of those panels. Your annual insurance premium will naturally increase as a result.
Ensuring Solar Panels are Specifically Covered
In addition to increasing your coverage limit, you should verify that solar panels are specifically covered in your insurance policy. Be sure to also ask about any special terms or provisions that apply. Given that large investment that you are making when purchasing solar panels, it is extremely important that you have coverage, and equally important, that you have sufficient coverage.
Some insurance companies offer a discount for energy efficient features in a home. Be sure to inquire about such discounts. If you are receiving a dramatically higher homeowner’s insurance rate after adding coverage for the solar panels, it may be a good time to shop rates among other providers. Contact Gorman Insurance for assistance with comparing providers and rates.
Understanding How Solar Panels Affect Homeowners Insurance in MA
Solar panels can be a great way to improve the energy efficiency in your home, help protect the environment, and possibly save some money in the long run. Given the long-term commitment with either buying or leasing solar panels, it is helpful to understand the full scope of your investment. Before signing any paperwork, contact your homeowner’s insurance company to ask how the solar panels affect homeowners insurance in MA. Your insurance agent should be able to provide you with a preliminary quote. If there is an added cost, consider this in your financial analysis. Only with all of the relevant information can you make an educated decision.