How much do power outages cost?

Power outages can be challenging to deal with, disrupting your daily life and endangering your well-being—especially if they happen often or for long periods of time.

They can also cost you money, sometimes thousands of dollars if they cause significant property damage.

We explain what you need to know about power outages, how much they could cost you, and how to protect yourself against them with a backup battery.

A power outage is a loss of electrical power to your home or business. It might be planned, as with Public Safety Power Shutdown (PSPS) events in California, or unplanned due to extreme weather like hurricanes, tornadoes, thunderstorms, or winter storms. The outage could be extremely short (just a few minutes) or could last for days, depending on the cause and severity of the damage.

Your level of preparation and the duration of the power outage impact how much it will cost you. Here are some of the most common costs associated with power outages:

Major power outage costs

Spoiled food

Cost: about $200 for a fridge full of groceries

If you have a fridge and/or freezer full of perishable food and your power outage lasts more than a day, you'll likely experience significant food waste.

During a power outage, keep your refrigerator and freezer closed as much as possible to retain the cold air. Food in the fridge will generally stay fresh for a day after an outage, and food in the freezer will stay frozen for a day to a day and a half if you keep it closed.

If your power outage lasts more than a few hours, make sure to check your food for signs of spoilage before consumption.

Emergency supplies

Cost: about $25 - $100, depending on what you need

Stocking up on emergency supplies is the best way to prepare for a power outage. Especially if you're notified of a planned shutdown or you're aware of extreme weather heading your way, plan to have the following on hand:

• Firewood and fuel source

• Candles

• Flashlight

• Extra batteries

• Portable phone charger (with a full charge)

• Non-perishable foods (at least enough for one week for your entire household)

• Extra bottled water (at least enough for one week for your household, including pets)

Lost productivity

Cost: about $200, assuming you make $25/hour and miss a full day of work

During a power outage, you'll lose your internet connection. So, if you need it to do your job, it could mean losing actual wages if you're an hourly worker or having to take a personal day if you're a salaried employee.

The cost of your lost productivity will vary significantly depending on your unique situation, but you should consider it if you frequently experience power outages.

Property damage

Cost: anywhere from $500 - $25,000, depending on the severity of the damage

You may not experience any property damage during a power outage. Or, an outage could cost you thousands of dollars. Either way, it's important to be aware of the potential risks.

When a power outage ends, the large surge of electricity that goes to your home can damage your electronics. To protect your property, make sure you either unplug or use a surge protector for major electronics like computers and televisions.

It's more difficult to avoid damage directly to your house. For example, if the outage occurs during a hurricane and you can't run your sump pump, you could experience flooding in your basement. This could cost anywhere from a few thousand dollars to $25,000!

Similarly, if the outage occurs during a winter storm and you lose heat, your pipes could burst (something that happened to quite a few people during the 2021 Texas freeze), costing anywhere from hundreds to thousands of dollars.

Alternative housing

Cost: about $150/night, depending on the location and quality of the hotel

Sometimes, the damage to your home from an outage is bad enough that you need to find alternative housing. You also could decide that your need for power is worth paying the cost of a hotel.

Your costs here depend on where you're looking for alternative housing, the quality of the hotel, and how long you need to stay there. If you have a friend or family member nearby with power, it's always worth checking if you can stay with them!

Absolutely! These are some of the biggest health risks associated with power outages:

• Spoiled food. Remember how we mentioned that food could spoil quickly without refrigeration? If you've ever gotten food poisoning, you know that eating spoiled can lead to misery and serious health risks.

• Mold buildup. Water damage from flooding can cause harmful mold to form in your house.

• Extreme heat/cold. During extreme heat or cold, not having access to air conditioning or heating (assuming you also lose heat during the outage, which isn't always the case) can present a high risk.

• Medical device failure. If you need to store medication in a fridge or require electricity to power medical devices, you need to have a reliable backup source for power outages.

Outside of your home, you should be cautious around downed power lines (always assume they're active) and extra careful at traffic lights that aren't working.

Solar panels on their own don't work during a power outage. But if you install batteries with your solar panels, you'll have a reliable backup source—and it won't be noisy or require refueling like a generator.

Batteries turn your home into an "energy island," allowing you to keep your devices powered regardless of the grid's condition. With a large enough battery system, you can keep your fridge, sump pump, AC/heating source, and medical devices running, significantly reducing the health risks associated with power outages.

Some battery companies even have apps specifically designed to alert and protect you during weather-related outages, including Generac and SolarEdge.