If your home was designed and built in a factory and installed on a movable chassis, then you have a mobile home. Many people ask how important it is insuring mobile homes. This would be discussed in-depth in the post, but before then what is a mobile home?
A mobile home is also called a manufactured home, but there is a slight difference – which will be highlighted later. If you occupy a mobile or manufactured home, then you need home insurance per necessity.
Insuring a mobile home is not required by law, but it may be required by your community – and it makes perfect sense to have it.
This article is about insuring your mobile home. We shall get to that shortly. But let’s first clarify the difference between a mobile home and a manufactured home, and examine why you need mobile home insurance.
Difference Between A Mobile Home and Manufactured Home
Having established that the terms mobile home and manufactured home are used interchangeably, there is a slight difference you must note – for informational purposes. However, mobile homes are also called modular homes.
For perspectives, the US Department of Housing and Urban Development categorized movable homes constructed prior to 1976 as mobile homes, while those that were built after 1976 were called manufactured homes – this is because of stricter safety standards required for the later houses.
But in terms of features, here are the major differences:
- Manufactured homes are constructed in a factory and delivered in one piece to the intended location while mobile or modular homes are delivered to the final location in several pieces.
- Manufactured homes are usually constructed on a metal frame and look like a box, but mobile homes are built on a basement or have a crawl space underneath.
- Manufactured homes may be installed on foundations that are not permanent, but this is not the case with modular homes.
- Manufactured homes often look like trailers, but mobile homes are designed to look and feel like a normal, traditional home.
Why was it important to clarify the differences between the two types of homes? It is because the distinctions between them can determine your insurance policy and choices. In fact, most traditional insurers do not provide coverage for manufactured or mobile homes except for conventional homes, but there are certain insurance companies dedicated to insuring only mobile homes of all types.
Types Of Mobile Home Insurance Coverage
The type of insurance coverage provided for mobile/manufactured homes is also almost the same provided for traditional homes. Since the standard homeowner’s insurance coverage almost applies to mobile or manufactured homes, here are some of the risks covered by a mobile home insurance policy:
- Fire and lighting
- Explosions
- Vandalism and theft
- Wind and hail
- Burst pipes
It is interesting to note that some types of risks are not usually covered. These include:
- Flooding
- Earthquakes
- Insect and animal infestation
You just need to speak with a mobile home insurance expert or representative to know what is covered under your policy and what is not.
How To Insure Your Mobile Home
Your mobile home insurance is subject to variable factors. These factors will determine the type of coverage policy you can have and your applicable premium payments. Some of the factors that determine your insurance for manufactured or modular homes are:
- Your residential community or where you live
- The age of your mobile home
- The cost of your home
- Desired policy limits and coverage options
- Your deductible
- Your claims history
- Preventive measures and security systems
Once the above factors have been taken into consideration, the next thing is to shop for a reliable mobile home insurer.
Not all insurance companies insure mobile homes even though they insure traditional homes, so you must shop for only those insuring mobile properties. Your search for an insurer must be based on the affordability of premium rates, quality of insurance coverage, and reputation for settling claims promptly.
You can search online for cheap and affordable mobile home insurance quotes, and it is also a good idea to get in touch directly with representatives of some reputable insurance companies or their affiliates. However, some of the insurers you can consider are:
- State Farm
- Allstate
- American Family
- American Modern
- Farmers
- Foremost
- Geico
- Progressive
It is best to compare quotes from several of these companies before choosing your insurer. Premium rates vary on several factors that affect your mobile home and the level of risks assigned to your home, so it is best to compare several quotes to get the most competitive rate with the best coverage for your needs.
Sometimes, certain coverage limits are also used to determine your actual quotes. These coverage limits include the cost value of your home, any adjacent structures, your personal property or belongings, and your personal liability. All these put together will influence your coverage limits in the light of your insured risks.
Some insurance companies also provide you with additional coverage in case you are not able to live in your insured house due to certain insured risks.
For instance, if you have insured your mobile home for fire and it eventually gets gutted by fire, the insurance company will cover the costs of living in a hotel pending the time the house will be repaired and livable again. So you might want to consider this feature if you are shopping for a mobile home insurer.
The question still remains: do you need insurance for a mobile or manufactured home? The choice is yours. You are not legally bound to get insurance for your movable home, but your community may require it; furthermore, it is advisable to get it since mobile homes are prone to fire and environmental factors which might cause harm to people or damage to the property itself.
Meanwhile, if your drainage system causes damage to adjacent properties, you may be looking at a lawsuit if your home is not well insured.
So this summarizes mobile home insurance and the question of how to insure a mobile home. If you have a question or comments or wish to share some personal experiences, kindly do so in the comments section below.
Photo by Melike Benli