As demand for renewable energy soars, solar contractors are seeing a steady uptick in residential and low-rise commercial installations. But with opportunity comes risk. These projects often involve rooftops, electrical systems, and structural modifications — all of which can lead to claims. That’s why brokers working with solar installation firms should ensure their clients have comprehensive protection through contractor liability insurance. Below, we break down the liability exposures unique to this sector—and how brokers can confidently place these accounts through an experienced MGA like Commodore.
Jobsite Risks Unique to Solar Installation
What are the hazards associated with solar installation? For starters, installing solar panels requires crews to transport and secure heavy, delicate equipment on rooftops. Meanwhile, they’re often working around vents, skylights, and uneven surfaces. Even for low-rise structures, the margin for error is narrow.
General liability exposures here include:
- Property damage during install: Panels dropped during lifting or misaligned arrays may crack shingles, damage siding, or even puncture a building envelope.
- Third-party injury: Foot traffic on-site can result in slip or trip hazards for property owners or passersby. If a worker knocks loose debris that hits someone or damages neighboring property, the installer may be liable.
- Electrical integration errors: Connecting panels to a home or business power supply requires precision. A mistake could short the system — or worse, cause a fire.
These scenarios fall squarely within the scope of general liability insurance for contractors, especially when tied to negligence in setup or execution.
Post-Installation Liability: Products and Workmanship
The risks don’t stop after the panels go live. Long after install day, issues like poor mounting, misaligned arrays, or failure to seal roof penetrations can result in costly claims. Consider a slow roof leak that takes months to manifest — only for the property owner to discover extensive water damage tied to the array placement.
Faulty workmanship or alleged product failure can expose contractors to lawsuits long after job completion. And because solar panels generally last 25 years or more, the tail on these exposures is long. General liability insurance remains the contractor’s most reliable protection in these cases, helping address claims tied to bodily injury or property damage, even when the timeline isn’t immediate.
What Brokers Should Look For in Clean Energy Contractor Accounts
Not every solar installer fits the right profile for submission. To help secure a swift and favorable premium indication, brokers should complete information upfront.
- Structure height: Commodore underwrites work on buildings three stories or fewer. Any project beyond that falls outside of our appetite.
- Project scope: Is the contractor focused on residential installs, or small-scale commercial work? Are they acting as the prime or subcontractor?
- Subcontractor management: Brokers should determine whether the solar contractor uses licensed and insured subcontractors and if contractual risk transfer is in place.
These details help brokers identify the right accounts and give underwriters what they need to move quickly, especially when working with Commodore.
Keep Solar Contractors Protected as Demand Rises
As the solar energy industry continues its rapid expansion, liability risks will grow. Faulty installations, product failures, and jobsite accidents are real exposures, and brokers need the right MGA partner to help manage them.
Commodore offers general liability programs tailored to solar contractors. We understand the pace, pressure, and precision these jobs demand — and we’re ready to support brokers who submit accounts that meet our underwriting appetite.
Get appointed with Commodore to receive a premium indication for your solar contractor submissions.
About Commodore
Commodore Insurance Services, Inc. (Commodore) is a California corporation that operates as a Managing General Agency and Program Manager. Since incorporating in 1990, Commodore has developed an expertise in the production and underwriting of insurance products for businesses across the West Coast. Our focus is on providing top-level insurance products to our clients while striving to make it easy to do business for our brokers. Try us and find out why we have continued to be successful for more than 27 years and are recognized as the trusted leader in small business insurance.
