Insuring your home renewable energy system

Rising energy costs, driven by geopolitical instability and ongoing volatility in global markets, are prompting many homeowners to reconsider how their properties are powered and heated. For some, this means supplementing traditional oil‑ or gas‑fired systems; for others, it’s about generating electricity to reduce household bills or export surplus energy back to the grid.

As renewable technology becomes more common in residential properties, it’s important to ensure your home insurance evolves alongside these changes.

What counts as a home renewal energy system?

If you’re considering installing an air source or ground source heat pump, solar panels (photovoltaic or solar thermal), a battery wall or home energy storage system), a wind turbine, or even a hydroelectric generator, there are important insurance considerations to take into account from the outset.

Understanding how these systems are insured - and ensuring they are properly disclosed- can help avoid gaps in cover and provide peace of mind should you ever need to make a claim.

How residential renewable energy systems are insured

Renewable energy systems can be significant investment. In the event of a fire, flood, escape of water, or even theft, you will want your cover to provide a new for old replacement.

In most cases, these systems should be insured under the buildings sum insured, with your overall figure increased to reflect the full cost of the system and its installation.

If you have installed, or are planning to install, solar panels, an air source heat pump, a battery wall or home energy storage system, it’s important to let your insurer or broker know so your policy can be reviewed and adjusted accordingly.

Is there a limit on what can be insured?

Not usually. Most home insurance policies include renewable energy systems within the definition of “buildings”. That said, it’s always worth checking, particularly where a system is not permanently fixed to your home.

For example, a solar panel array installed elsewhere on your property, such as in a garden, may not be covered as standard. However, the panel of insurers we work with are generally very willing to accommodate these installations, provided they are made aware of them.

If you have solar panels located away from your main building, let your insurer or broker know. Likewise, if you’re unsure whether your heat pump or another renewable energy system is adequately covered, we would always encourage you to contact your insurer or broker to confirm protection is in place.

What if there’s a loss and I’m out of pocket from my feed-in energy tariff?

Provided your insurer is aware of your renewal energy system, cover may be available for the loss of income you would have otherwise received from your energy supplier had the loss not occurred.

This type of cover really does vary between insurers and policies, so it’s important to check the detail. Your insurer or broker will be able to advise on whether loss of feed in tariff income is covered and, if so, to what extent.

What about my car charger - is that insured?

If you have installed, or are planning to install, an electric vehicle (EV) charger at home, you should let your insurer know – particularly if the installation was complex or high value.

In most cases, the cost of a home EV charger is added to the buildings sum insured. This is often accommodated with no additional premium until renewal, after which any increase is typically negligible.

I’m keeping my existing oil or gas heating – is there anything I should consider?

Yes. If you are retaining an oil or gas‑fired system alongside renewable technology, there are still insurance considerations.

Most of the insurers we work with provide cover for the theft of heating oil, although limits are typically expressed in litres rather than monetary value, so it’s worth checking with your insurer or broker.

Some policies also cover the cost of replacement oil following a leak, together with trace and access to locate the source of the escape and associated environmental clean‑up costs. As cover can vary, we would always recommend confirming what protection is in place for your individual circumstances.

What if I have a claim and want a renewable energy alternative?

Certain policies include “Environmental Upgrade” cover where a home heating system has been physically damaged following an insured event. This may be a contribution towards the cost of installing a renewable alternative, such as solar panels, an air or ground source heat pump, or even a wind turbine.

This type of cover is usually subject to specific limits, and availability can vary between insurers. Your insurer or broker should be happy to advise on what may be possible under your policy.

Any new home energy system must be professionally installed. This is particularly important for solar installations and lithium-ion battery storage, which can present an increase fire risk if poorly designed or installed.

For more advice on solar panels, please read our article: Solar panels and fire safety

How Howden can help

Renewable energy systems can add value to your home, but they can also introduce new risks and complexities from an insurance perspective. Our role is to ensure your cover keeps pace with how your property is evolving.

We take the time to understand the detail of your installation - whether it’s solar panels, battery storage, heat pumps or EV charging - so we can:

• Confirm your buildings sum insured accurately reflects the full replacement cost
• Check whether installations away from the main dwelling are correctly covered
• Advise on new‑for‑old replacement, loss of income from feed‑in tariffs and environmental upgrade options
• Ensure any retained oil‑ or gas‑fired systems remain properly protected

We also work closely with a wide panel of insurers who are familiar with renewable technology and generally willing to accommodate bespoke or non‑standard installations, provided they are disclosed and professionally installed.

To speak to us about your home insurance. Call 020 8256 4901 or email privateclients@howdeninsurance.co.uk

Steve Moores

Steve Moores has over 20 years’ experience at Howden, with extensive expertise across all areas of Private Client insurance. He also leads Howden’s Private Client Risk Management proposition, helping homeowners reduce risk and ensure their insurance responds as expected.

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