Best Mobile Home Insurance
In fact, since the year 2000, the average price of mobile homes has more than doubled. Notice below the steady increase in the value of mobile homes compared to the peaks and troughs of the overall housing market.
Common Questions
What is mobile home insurance?
Mobile home insurance is a specialized type of home insurance that applies specifically to mobile homes (also called “manufactured homes”). Because manufactured homes are more vulnerable to the elements than traditional homes, they don’t qualify for conventional homeowners insurance. That’s why many companies now offer mobile home insurance as an alternative.
Your property must rest on a movable chassis instead of a traditional foundation to qualify as a manufactured home. Also, it cannot have more than one story. If this describes your home, then you qualify for mobile home insurance.
Are there any additional benefits?
Like all insurance policies, mobile home insurance sometimes comes with benefits. For example, some offer identity theft protection. Others offer alternative living expenses coverage, which pays for hotel costs if you’re forced to vacate your home. Find out all the benefits that each insurance company offers, and factor in this value when you choose your policy.
How much coverage do you need?
There are many factors to consider when choosing the right amount of coverage for your manufactured or modular home. First, determine the value of your home and all of your possessions, including furniture, art, electronics, appliances, and jewelry. The minimum coverage for a single-section manufactured home is around $30,000. Double-section mobile home insurance policies typically start at $45,000. However, you may need more coverage. Determine if the coverage you choose will be enough to replace your home.
Liability is another factor to consider when choosing coverage levels. Think about how much coverage you need to protect your assets if you were on the receiving end of a large claim. If you are sued, your basic liability coverage may not be enough to pay for legal costs, any awards, lost wages, and medical bills.
A lot depends on your personality and lifestyle. Are you a minimalist who doesn’t invest in expensive goods? If so, you may want to cut costs by keeping personal property coverage to a minimum. If you’re renting, liability insurance may be legally required by your landlord, but you can probably get by with the minimum physical damage coverage.
Plus, depending on where you live, some mobile home insurance companies offer specialized coverage (also called “endorsements” or “riders”). For example, if you live in southern California, you might want to seek out earthquake coverage. And if you live in rural Alaska, it might be wise to secure coverage from damage caused by wild animals.
What are the policy's deductibles?
Deductibles are the amount of money that you yourself are responsible for paying toward an insured loss. If a disaster strikes your mobile home, the amount of the deductible is deducted from your claim payment.
Generally speaking, the larger the deductible, the less you pay in premiums for an insurance policy.
One way to save money on a mobile home insurance policy is to raise the deductible. Every time you get a quote, ask about the options for deductibles when comparing policies. Most mobile home insurers offer a minimum $500 or $1,000 deductible. If you get a higher deductible, you can save on the cost of the policy.
The catch, obviously, is you will have to pay the deductible when you make a claim. So, make sure it’s an amount you could afford to pay in the event of a claim.