Does house insurance cover solar panels?

Is your solar power system insured too if your house is covered under an insurance scheme?

With more solar installations all across Australia, there is an increased need to be sure about the safety of your equipment. In case of a disaster, is your system insured?

Although you do have product and performance warranties, in the advent of a mishap, it would be helpful if your system is insured along with the house. In most cases, you should get your insurance terms revised after getting a solar power system installed.

Many insurance companies consider solar panels as part of the building. It may happen that your insurance already includes them. But, nonetheless, it is always good to check with your insurer.

Do I have to pay extra for this insurance?

You will have to pay an extra amount to get your solar panels covered by the home insurance. Contact your insurer and get your home and contents insurance updated to cover in case of solar panel damage. Since panels are considered a part of the building, whatever is considered under your home and contents insurance, will also cover your panels (for example damage due to floods or storms).

What you do need to consider is that your insurance premium will most likely increase.

Solar panel warranties:

Almost all solar components come with warranties. There are 2 types: Product warranty and Performance warranty. Any trouble with the solar component-these got you covered.

Performance warranty:

It is to warrant the capacity of the system to a specific level. It is generally a 25 years warranty.
The capacity will anyway decrease over time due to panel degradation.

Product warranty:

It warrants the product against any manufacturing defect. It usually covers the physical and electrical defects. This is offered by the manufacturers and is usually for about 12-15 years for most companies.