Homeowners Insurance

[brewbeer]

Utility recommended I contact my insurance company. Insurance company had me sign a statement saying I had installed solar panels and identifying the cost of the roof mounted equipment. Premium increased by $12.

[foo1bar]

My 25 kW system is about 1.5% the replacement cost of my house.

I would insure it for the replacement cost. (Even though it cost me less since it was a DIY project)
For a 25kW system, I'd estimate ~$75k.
Is your house's replacement cost $5M?
That'd be a really big house.
Even for the $10M properties around here the building is still much less than $5M to replace.

[rsilvers]

The insurance company actually calculated true rebuild cost. 4M to rebuild if destroyed. It is insured for that amount. I think it is 15,240 square feet in the town records.

[foo1bar]

In response to the request for the certificate my Agent is telling me that State Farm won't provide insurance for this as they consider me a business because I am "selling" power to WE Energies, my power company.

Ask your agent to follow up with his support at State Farm.

You aren't the first ground-mount system in WE Energy's area.
So if State Farm can't/won't do the insurance, I'm sure there are others who will.
I'd even ask the agent "So since State Farm can't do the insurance, what company would you recommend I talk to about getting insurance?"

[Sunking]

The issue that just cropped up today is that I received an email back from my State Farm insurance agent. I had contacted him as the Utility wants a Certificate of Insurance as required under the law. In response to the request for the certificate my Agent is telling me that State Farm won't provide insurance for this as they consider me a business because I am "selling" power to WE Energies, my power company.

Your agent may be right or not. They have the right to set any policy they want. If that is their policy, you will have to find another carrier. Having said that, it is real easy to find out. Call SF main number and tell them you want to cancel your HO Insurance Policy. When they ask why, tell them. You will find out real quick if the person you talked to right or not. I bet even your local agent will sing a different tune when you tell him to cancel your policy as that is money out of his pocket. He will no longer receive his/her 25% commission every year when your renew your policy.

Before you make that call, locate a Carrier that will write the policy because they may call your bluff. You are going to need that Ace as leverage.

Money talks and BS walks.

[azdave]

...Part of this process is that in Wisconsin, by Sate Law, I need to provide proof of insurance.

Sounds like there is confusion about what type of insurance is being discussed here. I'm sure your utility could care less if you have insurance to replace your own solar panels if they were damaged in a fire or lighting strike. I'll bet they want liability coverage in case your system malfunctions and does harm to their grid or employees. That is far more likely what they are asking about and unusual for a homeowner grid-tie system in my opinion.

In my business, when any contractor comes into my building to do any work, they first have to provide a Certificate of Insurance for Liability and Worker's Comp. They must prove they have coverage in case they accidentally burn down my building or fall off of a ladder and hurt themselves while they are on my property.

I'll bet that is what they are asking for. My utility never asked for that but I'm in Arizona.

As mentioned earlier, I called State Farm to let them know I had added a PV system and what the replacement value would be if there was a total loss. It was a non-issue to add it to my policy.

[ButchDeal]

Liability coverage is very commonly required for interconnect. It was already covered with my policy but some customers have to up their limits a bit.

[foo1bar]

Liability coverage is very commonly required for interconnect. It was already covered with my policy but some customers have to up their limits a bit.

A ground mount system might require slightly different coverage from a system that's part of the house structure.
A ground mount isn't part of the structure - so there may be some differences - that would definitely be something I'd ask the insurance agent, since in this case the OP's system is a ground mount.