Ways to Reduce Insurance Cost for a Solar Panel Installation Business

Nate Jones, CPCU, ARM, CLCS, AU
4 days ago
2 min read

Updated: 3 days ago

Insurance is a necessary expense for solar panel installation businesses, but it doesn’t have to strain your budget. With the right strategies, solar contractors can lower insurance premiums while maintaining strong protection for crews, equipment, and clients. Below are proven ways to reduce solar contractor business insurance costs without sacrificing coverage.

1. Improve Jobsite Safety and Training

Insurance companies heavily factor safety records into pricing. Businesses with fewer claims and documented training often receive lower premiums.

Ways to improve safety:

Conduct regular fall-protection and electrical safety training
Enforce written safety procedures
Provide OSHA-compliant equipment

2. Bundle Multiple Insurance Policies

Purchasing policies separately is usually more expensive. Bundling coverage can significantly reduce overall costs.

Common bundles include:

General liability + commercial auto
Workers’ compensation + liability
Tools & equipment + property coverage

Insurance carriers often offer discounts for bundled contractor policies.

3. Choose Appropriate Coverage Limits

Over-insuring can increase premiums unnecessarily. Review contract requirements carefully and avoid selecting limits far beyond what clients or municipalities require.

Focus on:

Matching limits to project size
Adjusting deductibles to balance cost and risk
Avoiding duplicate coverages

4. Maintain a Clean Claims History

Claims history directly impacts insurance pricing. Fewer claims typically lead to lower renewal premiums.

To reduce claims:

Address minor incidents before they escalate
Document safety meetings and incident reports
Repair equipment promptly to avoid accidents

5. Limit Vehicle and Equipment Exposure

Commercial auto and equipment coverage can significantly raise insurance costs.

Cost-saving tips:

Assign vehicles only to trained drivers
Remove unused vehicles from policies
Secure tools and equipment to reduce theft claims

6. Work With a Solar Insurance Specialist

General insurance agents may not understand solar installation risks, which can lead to overpriced or unnecessary coverage. A specialist can tailor policies specifically for your business type.

Benefits include:

Accurate risk classification
Access to multiple carriers
Better pricing for solar contractors

Get Lower Solar Insurance Costs With Wexford Insurance

Wexford Insurance works with solar panel installation businesses to reduce insurance costs while keeping full protection in place. Their team helps contractors: