Insurers are drawing attention to the rising number of property fires linked to solar panels, warning that poor installation and lack of maintenance are emerging as significant underwriting concerns.
AXA UK has urged property owners to ensure systems are properly installed and regularly serviced following several fires in 2024 involving photovoltaic (PV) systems. Notable incidents included blazes at a Lidl warehouse in Peterborough, a block of flats in Lewisham, and a school in Cramlington. The latter prompted Northumberland County Council to disconnect panels across 80 public buildings as a precaution.
Emerging risks for insurers
The increased adoption of solar panels, driven by the UK’s 2050 net zero target, has introduced new exposures to insurers’ property portfolios. AXA UK noted that many policyholders remain unaware of maintenance requirements, often treating solar systems as “fit and forget” installations. This lack of upkeep can heighten risks of electrical faults, overheating, or fire – losses that are costly and complex to handle.
"Solar panels are a relatively new technology, and people aren't aware of the need for regular maintenance in the same way as they are with their gas boiler," said Dougie Barnett (pictured above), director of commercial customer risk management at AXA UK. "They tend to put them on the roof and forget about them but that creates a considerable risk, as we've seen with these recent fires."
For insurers, such risks raise questions about installation quality, certification, and the adequacy of ongoing inspection regimes. In several cases, claims investigations have found that equipment failures stemmed from non-certified components or unaccredited contractors. These findings have led some insurers to review coverage terms for renewable energy installations, particularly in the commercial property segment.
Underwriting and risk management focus
Insurers are responding by refining underwriting criteria for properties with solar technology. Many now require proof of installation under the Microgeneration Certification Scheme (MCS), the government-backed standard for microgeneration products, as a condition of cover. Others are incorporating solar system checks into pre-bind surveys and risk engineering assessments.
AXA UK has published guidance for commercial clients, outlining steps to reduce exposure, including ensuring certified installation, conducting annual inspections, and recording maintenance activity. Strong documentation can also support policyholders in validating claims should a loss occur, according to the company.
As renewable technologies become more widespread, insurers are balancing support for sustainability goals with closer scrutiny of emerging risks. Maintaining clear standards around installation and maintenance is expected to remain central to underwriting renewable energy exposures in the years ahead.
