Mobile Home Insurance

Mobile Home Insurance

Mobile and manufactured homes cannot be covered by a homeowners policy. Pre-fabricated homes’ unique structures make them more susceptible to natural catastrophes, increasing their insurance risk. As in a homeowners insurance policy, insurance for mobile or manufactured homes offers coverage for any damage sustained to the physical structure.

There are certain events that a basic insurance policy for mobile and manufactured homes will not cover. Each plan and insurer differ, but you can expect to see these events typically excluded:

• Floods. Water damage caused by flooding will never be covered by a typical insurance policy. However, if the water damage is caused by something inside your home, such as an overflowing toilet or burst pipe, it may be covered by your mobile home insurance.
• Earthquakes. Standard insurance does not cover damage or loss due to earthquakes. This includes any seismic event (such as volcanic activity) that occurs within 72 hours of an earthquake. Some insurers may cover fire damage resulting from an earthquake, but it’s best to ask an agent and determine if you live in an at-risk area.
• Hurricanes. If you live in a hurricane-risk area, you’ll need additional endorsements to protect you from the damage hurricanes can cause. Typically, homeowners invest in both flood insurance and windstorm insurance; many standard policies cover damaged caused by wind, but if you live in a coastal state, you’ll need additional coverage.
• Mold. Similar to water damage caused by flooding, mold is also not covered. Mold can turn into a health hazard, so be sure to treat it as soon as you find it.

In general, insurance premiums for mobile and manufactured homes run between $300-$1,000. If you choose a higher deductible, you may pay less; however, you will pay more out-of-pocket to cover damages before your deductible kicks in. Choose a lower deductible and your monthly cost will be more, but you could save thousands of dollars in the event of damage or catastrophe.