If you’re considering solar panels—or already have them—you may have heard worrying stories about insurance coverage related to fire risk. Let’s set the record straight: solar panels do not cause fires, and most Canadian insurance companies do cover homes with solar systems. Problems only arise with poor installation or maintenance.
Why Some Homeowners Think Coverage Is an Issue
Your insurance agent or broker may incorrectly tell you that your policy won’t cover solar panels. This likely owes to a communication breakdown between brokers, underwriters, and agents. Outdated internal guidelines can also lead to mistakes.
If your agent or broker is giving you the runaround, here’s what to keep in mind:
- You have options. Feeling pressured or bullied is a red flag. Don’t accept “no” without checking further—push up the chain or switch vendors if needed.
- Work with a broker. A broker works for you, while an agent works for the insurance company. A good broker can advocate for your coverage, clarify misunderstandings, handle paperwork, and get a competitive quote.
- Be ready with documentation. Insurers commonly ask for proof that the solar installation was done professionally, properly permitted, and inspected. Generation Solar can help complete these forms if we handled your installation or ongoing maintenance.
The Real Risk: Poor Installation
Insurance concerns aren’t about solar panels—they’re about how they’re installed. Uncertified or DIY installations can create risks such as:
- Wiring hazards
- Roof leaks
- Susceptibility to animal or vermin damage
Professional solar installations, on the other hand, meet safety and regulatory standards. They are as safe, or safer, than other home upgrades, like furnaces, heat pumps, EV chargers, or propane appliances.
What to Do if You Hit Roadblocks
- Ask questions: Make sure your broker understands the details of your system—size, ownership, installation type, and inspection certificates.
- Push back respectfully: If an agent pressures you, remind them you know your rights and will escalate or report unprofessional conduct if necessary.
- Change brokers if needed: A broker who isn’t advocating for you isn’t doing their job. There are plenty of insurance professionals who understand solar and can secure proper coverage. Direct your broker to their own industry guidance on solar.
Bottom Line
Solar panels are a smart investment in your home and your energy independence. Don’t let outdated information, miscommunication, or pressure tactics stop you from getting the coverage you deserve. With the right installation, proper documentation, and an advocate on your side, your solar panels shouldn’t complicate your insurance at all.