Manufactured Home Insurance
Manufactured home insurance can help someone protect their mobile or manufactured home, adjacent structures and personal property. Manufactured and mobile homes are essentially the same thing, it’s simply that the government calls these types of property “manufactured” if they were built after June 15, 1976. This should not be confused with a modular home, which is typically delivered in multiple pieces before being assembled on land, and will require a standard homeowners insurance policy.
The need for manufacturers home insurance is no different to a standard home insurance policy, and it is intended to protect a customer’s home and belongings from unexpected events such as fire, severe wind or hailstorm damage, etc. Unfortunately, most homeowners don’t have enough surplus cash to repair major damage, and this is why there is a need for manufactured home insurance.
A manufactured home insurance policy will protect a mobile home and any structures that the customer owns that are on the same piece of land, but not attached to the actual home. This may include a detached garage or shed, and all forms of loss will be covered unless specifically excluded in the policy.
Manufactured home insurance will provide coverage for a wide range of standard perils including but not limited to, fire, damage from falling objects, lightning, explosion, windstorm damage, and many more. However, it is important to be aware that a regular manufactured home insurance policy will not generally cover a mobile home when it is being moved.
A manufactured home insurance policy will also include protection for a wide range of perils for the policyholder’s personal property. The protection is provided whether the personal property is inside the manufactured home or in an adjacent structure, such as a shed. Personal property coverage will also apply to property that is away from the policyholder’s home, although there are typically lower maximum limits of coverage and a far smaller range of perils that are insured against.
An additional form of coverage that is provided with manufactured home insurance is personal liability protection. Unfortunately, accidents can happen at any given moment, and these may unintentionally cause property damage or even bodily damage to a person that doesn’t reside on the insured property. This may cause a policyholder to pay for large, out of pocket expenses due to damages or court costs. However, personal liability protection will pay for medical expenses of someone who doesn’t reside in the property and also any damages or defense costs due to the accident.
Just as with any other home insurance policy, a manufactured home insurance policyholder may qualify for certain discounts. These include:
- Claims free discount – this can offer a reduction if the policyholder hasn’t made a claim in the last five years.
- Customer longevity discount – If the policyholder has held their insurance with the same company for the last 5 years, and this company offers manufactured home insurance, the customer may qualify for this discount.
- New home discount – A customer may be eligible for a discount based against the age of their home and the year in which they first occupied it.
- Home security and fire protection discount – If a customer’s manufactured home is equipped with a qualifying smoke or fire alarm, burglar alarm, or an automatic sprinkler system, they may receive a discount.
- Age of customer discount – Discounts generally begin at age 50 for new and existing manufactured homeowners.
- Home purchase discount – A customer may qualify for a discount if they purchased their home within the last three years, irrespective of its age.
If a consumer wishes to obtain manufactured home insurance they will initially need to do some research to find out which insurance companies provide this type of coverage. It may make sense to ask residents of a mobile park who they currently have their home insurance with. Next, a customer should determine exactly how much they can spend on insurance, as this will help them to determine what coverage and limits they can afford to include in their policy.
The next decision will be whether to take comprehensive or peril coverage. Both of these are valuable policies, but they cover different eventualities. Comprehensive coverage will provide protection against accidental damage, whereas peril coverage will cover specific perilous events, as mentioned earlier. Finally, it is usually best for a customer to buy a manufactured home insurance policy before they actually move in. By doing this, they can eliminate the possibility of their property being damaged while they are uninsured.