diff --git a/homeassistant/components/tibber/__init__.py b/homeassistant/components/tibber/__init__.py
index 4d9c0560682..6bd68e17c4d 100644
--- a/homeassistant/components/tibber/__init__.py
+++ b/homeassistant/components/tibber/__init__.py
@@ -53,17 +53,18 @@ async def async_setup_entry(hass: HomeAssistant, entry: ConfigEntry) -> bool:
 
     try:
         await tibber_connection.update_info()
-        if not tibber_connection.name:
-            raise ConfigEntryNotReady("Could not fetch Tibber data.")
 
-    except asyncio.TimeoutError as err:
-        raise ConfigEntryNotReady from err
-    except aiohttp.ClientError as err:
-        _LOGGER.error("Error connecting to Tibber: %s ", err)
-        return False
+    except (
+        asyncio.TimeoutError,
+        aiohttp.ClientError,
+        tibber.RetryableHttpException,
+    ) as err:
+        raise ConfigEntryNotReady("Unable to connect") from err
     except tibber.InvalidLogin as exp:
         _LOGGER.error("Failed to login. %s", exp)
         return False
+    except tibber.FatalHttpException:
+        return False
 
     await hass.config_entries.async_forward_entry_setups(entry, PLATFORMS)
 
diff --git a/homeassistant/components/tibber/config_flow.py b/homeassistant/components/tibber/config_flow.py
index d0adc0391ab..b5cb4486cc9 100644
--- a/homeassistant/components/tibber/config_flow.py
+++ b/homeassistant/components/tibber/config_flow.py
@@ -44,10 +44,14 @@ class TibberConfigFlow(config_entries.ConfigFlow, domain=DOMAIN):
                 await tibber_connection.update_info()
             except asyncio.TimeoutError:
                 errors[CONF_ACCESS_TOKEN] = "timeout"
-            except aiohttp.ClientError:
-                errors[CONF_ACCESS_TOKEN] = "cannot_connect"
             except tibber.InvalidLogin:
                 errors[CONF_ACCESS_TOKEN] = "invalid_access_token"
+            except (
+                aiohttp.ClientError,
+                tibber.RetryableHttpException,
+                tibber.FatalHttpException,
+            ):
+                errors[CONF_ACCESS_TOKEN] = "cannot_connect"
 
             if errors:
                 return self.async_show_form(
diff --git a/homeassistant/components/tibber/manifest.json b/homeassistant/components/tibber/manifest.json
index 0e23729df72..e716192b8b4 100644
--- a/homeassistant/components/tibber/manifest.json
+++ b/homeassistant/components/tibber/manifest.json
@@ -8,5 +8,5 @@
   "iot_class": "cloud_polling",
   "loggers": ["tibber"],
   "quality_scale": "silver",
-  "requirements": ["pyTibber==0.26.13"]
+  "requirements": ["pyTibber==0.27.0"]
 }
diff --git a/homeassistant/components/tibber/sensor.py b/homeassistant/components/tibber/sensor.py
index 5f375ee22ed..7c563208720 100644
--- a/homeassistant/components/tibber/sensor.py
+++ b/homeassistant/components/tibber/sensor.py
@@ -44,6 +44,7 @@ from homeassistant.helpers.entity_registry import async_get as async_get_entity_
 from homeassistant.helpers.update_coordinator import (
     CoordinatorEntity,
     DataUpdateCoordinator,
+    UpdateFailed,
 )
 from homeassistant.util import Throttle, dt as dt_util
 
@@ -559,6 +560,8 @@ class TibberRtDataCoordinator(DataUpdateCoordinator):
 class TibberDataCoordinator(DataUpdateCoordinator[None]):
     """Handle Tibber data and insert statistics."""
 
+    config_entry: ConfigEntry
+
     def __init__(self, hass: HomeAssistant, tibber_connection: tibber.Tibber) -> None:
         """Initialize the data handler."""
         super().__init__(
@@ -571,9 +574,17 @@ class TibberDataCoordinator(DataUpdateCoordinator[None]):
 
     async def _async_update_data(self) -> None:
         """Update data via API."""
-        await self._tibber_connection.fetch_consumption_data_active_homes()
-        await self._tibber_connection.fetch_production_data_active_homes()
-        await self._insert_statistics()
+        try:
+            await self._tibber_connection.fetch_consumption_data_active_homes()
+            await self._tibber_connection.fetch_production_data_active_homes()
+            await self._insert_statistics()
+        except tibber.RetryableHttpException as err:
+            raise UpdateFailed(f"Error communicating with API ({err.status})") from err
+        except tibber.FatalHttpException:
+            # Fatal error. Reload config entry to show correct error.
+            self.hass.async_create_task(
+                self.hass.config_entries.async_reload(self.config_entry.entry_id)
+            )
 
     async def _insert_statistics(self) -> None:
         """Insert Tibber statistics."""
diff --git a/requirements_all.txt b/requirements_all.txt
index a007390b9a4..778258f4e18 100644
--- a/requirements_all.txt
+++ b/requirements_all.txt
@@ -1473,7 +1473,7 @@ pyRFXtrx==0.30.1
 pySwitchmate==0.5.1
 
 # homeassistant.components.tibber
-pyTibber==0.26.13
+pyTibber==0.27.0
 
 # homeassistant.components.dlink
 pyW215==0.7.0
diff --git a/requirements_test_all.txt b/requirements_test_all.txt
index ddcad6f0028..6ebbbe75366 100644
--- a/requirements_test_all.txt
+++ b/requirements_test_all.txt
@@ -1076,7 +1076,7 @@ pyMetno==0.9.0
 pyRFXtrx==0.30.1
 
 # homeassistant.components.tibber
-pyTibber==0.26.13
+pyTibber==0.27.0
 
 # homeassistant.components.dlink
 pyW215==0.7.0