Is It Worth the Cost to Replace an Electrical Panel?
A panel replacement can carry a significant upfront cost. For most homeowners, this cost will cause some debate. We’re often asked if it’s worth the cost to replace an electrical panel. In many cases, the answer is yes—but there are some cases where it may not be needed. To help with this decision, the TCA Electric team is taking a look at the cost of this service and evaluating whether the cost will be worth it in various situations.
What Does It Cost to Replace an Electrical Panel?
As we’ve covered previously in this blog post, the cost to replace an electrical panel can vary quite a bit. However, it can often be among the higher home improvement costs you’re likely to face.
Depending on the exact upgrade, the cost to replace an electrical panel may fall anywhere from around $5,000 for a panel replacement to $8,000–$12,500 for service upgrades. Of course, that’s quite a wide range, so it’s important to discuss the different cost factors with your electrician.
That said, how do you know if a panel replacement is worth the cost? Let’s take a look at a few situations.
Malfunctioning Panel: Upgrade Now to Protect Your Home
The clearest scenario is if your electrical panel is malfunctioning. If this is the case, it’s always worth the cost to replace your electrical panel and protect your home and family. This is also true if a panel is recalled, in which case the replacement is likely to be free.
Electrical panels serve as the first line of defense against the significant amount of electricity entering your home. They ensure circuits aren’t overloaded and protect your home against power surges, which can otherwise cause major damage to your home.
If your electrical panel isn’t functioning as it should, it’s crucial to replace it immediately.
Insurance Coverage: Take Advantage of Reduced Costs
In some cases, insurance may cover some part of the cost to replace your electrical panel. While these cases are fairly specific—such as if your home uses an electrical panel that has been recalled—it does make it well worth it to replace your panel, as the cost will be significantly reduced.
Adding Power: Increase Your Home Value
If you’re looking to sell your home within the next few years, upgrading your electrical service can be a good way to add value to your home. Today, most prospective homebuyers will strongly prefer 200 amps of service over 100 amps. If your home still has a 100 amp panel, this could significantly hurt the final sale value, as potential buyers will see this as an upgrade they’ll have to make themselves.
Make Other Home Upgrades Possible
For some families, 100 amps may be enough power. However, this is the case less and less often as there are more power demands on modern homes than ever before.
If you’re hoping to upgrade your home by installing new appliances, home automation, or other devices, chances are a 100 amp panel will make this far more difficult—or even impossible. Replacing your electrical panel with a newer, higher-capacity device will give you and your family more room to work with when it comes to home upgrades.
While the initial cost may be significant, replacing your panel can open the door to greater savings through greener, more sustainable upgrades like home EV chargers.
Get a Quote for a Panel Replacement Today!
Of course, in order to make a final decision on whether upgrading your electrical panel is worth the cost you’ll first need a more precise estimate on what that cost may be. While price ranges can help you budget, the only way to truly evaluate the value of a panel replacement is by talking to an expert electrician.
At TCA Electric, our team has helped many homeowners upgrade their electrical panels and open the door to home upgrades and greater convenience. Reach out to our team today and we’ll be happy to provide a quote for your panel replacement!