Sunny Side Up: What Holiday Parks Need to Know About Photovoltaic (PV) Solar System Insurance

Property Damage Cover

PV solar systems are a significant investment, and damage from weather, vandalism, or accidental impact can be costly. When installing panels, it is worth speaking to your insurer to ensure your existing policy covers:

• Storm damage (including hail and high winds)
• Fire and electrical faults
• Vandalism and theft
• Accidental damage, such as falling debris or vehicle collisions

Business Interruption Insurance

If your holiday park relies on solar energy, damage to the system could disrupt your park’s operations, this in turn could lead to financial loss. Business interruption insurance cover will help cover lost income while repairs are made, ensuring minimal disruption to guests and your revenue.

Liability Risks

Having the right public liability insurance in place can protect your park from claims related to injuries or damage caused by solar panels. Such claims can include injury from falling panels or exposed wiring and faulty installations, which could lead to electrical fires or structural damage. It is also crucial to ensure your contractor has appropriate liability coverage and is an approved installer, such as MCS (Microgeneration Certification Scheme) certified.

Theft & Security Measures

Often solar panels can be seen as an easy target for thieves. Always ensure this is included within your insurance policy and help reduce the risk by installing additional CCTV and security lighting.

Compliance & Warranty Considerations

Always make sure that solar PV panels are:

• Compliant with local building regulations and safety standards
• Regularly maintained to prevent faults or hazards by an MCS certified contractor
• Manufacturer warranties are in place for faulty equipment

Keeping on top of these areas will help in the unfortunate event of having to make a claim

Environmental & Pollution Liability

PV solar systems contain materials that could be hazardous if damaged, such as lithium-ion batteries in solar storage systems. It is always worth considering Pollution liability insurance which can protect against claims related to environmental contamination or hazardous waste disposal.:

Fire Risk

The Fire Protection Association (FPA) has identified several factors that contribute to fire losses, including:

• Moisture and water ingress into PV system components—such as DC and AC isolators and combiner boxes—causing short circuits and subsequent failure.
• Accumulation of dirt and bird droppings on PV panels, resulting in partial shading and the formation of hot spots that may develop into faults.
• Use of low-quality or incompatible components during the initial installation or when replacing parts, leading to system failures.