Mobile home insurance

If you live in a mobile home, having the right type of insurance is important. Rather than a standard home insurance policy, you’ll need a mobile home insurance policy instead. This will provide tailored coverage for your home, but like any home insurance policy, you’ll be able to add and adjust coverage to suit your needs.

What is mobile home insurance?

Mobile home insurance, or manufactured home insurance, is insurance that covers any dwelling that falls under the manufactured home definition. These homes always have a HUD label and are typically built on a metal frame and delivered as a completed structure.

Mobile home insurance is considered the equivalent of homeowner’s insurance for owners of manufactured homes. In 2020, the median price of a manufactured home was $86,133 compared to $329,000 for an average single family home, according to the Insurance Information Institute (Triple-I). While manufactured homes are typically much cheaper to buy, it’s still important to have mobile home insurance coverage to protect your investment and family’s finances. After all, many people don’t have $86,000 of disposable income to replace their home in the event it is destroyed.

What does mobile home insurance cover?

Mobile home insurance provides coverage for the following essentials:

• Dwelling coverage: This coverage is for the dwelling and other permanent structures on the property. In other words, any damage done to your home or other structures on the property (like a deck, garage or shed) that is listed in your policy is covered under your dwelling coverage.
• Personal property coverage: This coverage is for your personal belongings. If the items you own are damaged or stolen, your policy covers you.
• Liability coverage: This coverage is to protect you in the event someone is injured on your property and you are held liable. Liability protection may cover legal fees and medical costs up to your coverage limit.
• Loss of Use/Additional Living Expenses (ALE): This coverage applies when there is damage covered by your dwelling coverage that requires you to live somewhere else temporarily. ALE may cover hotel costs, rent of a temporary home and restaurant meals.

Some manufactured homeowners opt to purchase peril policies, a type of mobile home insurance with low premiums but high risk. Peril policies cover very limited causes of damage, meaning you will be on the hook for any costs not resulting from one of the listed perils. Understand the full scope of what is and isn’t covered before purchasing one of these policies, and ensure you can afford the full cost of repairs not covered.

What does a mobile home insurance policy not cover?

Standard mobile home insurance policies have several exclusions. Some of these require add-ons or additional policies for coverage and may or may not be needed depending on your geographic location:

• In-transit damage
• Flood insurance
• Earthquake insurance
• Hurricane windstorm insurance

Mobile home insurance companies

Although homeowners insurance and mobile home insurance share some similarities, not all property insurers offer mobile home insurance in all states. Still, if you have a standard homeowners insurance policy or auto coverage, the best place to start is by contacting your insurer or agent to see if you can bundle policies and get a discount on your mobile home insurance. Some national insurers, such as USAA and Geico, partner with third-party mobile home insurers to offer more specific coverage.

The best mobile home insurance provider for you will depend on your geographic area and the type of coverage you need. These are a few of the most popular mobile home insurers in the U.S.:

• Allstate: Allstate is a national carrier that offers some unique optional coverage features like water backup and identity theft restoration.
• American Modern: American Modern offers mobile home insurance for different use types such as rental and seasonal homes
• Assurant: Assurant’s User-friendly quoting tools are available online for a quick quote. With Assurant, there is also the option for a stated value loss settlement.
• Farmers: Farmers is a national property insurer that provides mobile home insurance coverage. Though you cannot get a quote online, which may be an inconvenience, Farmers has a wide variety of additional coverage options many insurers do not offer.
• Foremost: A super-regional subsidiary of Farmers, Foremost is known for exceptional customer services and minimal customer complaints. Quotes requests can be made over the phone or on their website but are not instant. Among Foremost’s options is extended replacement cost coverage.
• HomeFirst: With over 20 years of experience insuring manufactured homes, HomeFirst is a great choice when it comes to the specialized insurance needs of prefabricated homeowners. The policies include flood coverage, which is often not standard. You can request a quote via its website and an agent will follow up with you.

Similar to how you would shop for home and auto insurance, you will likely get the best coverage by obtaining quotes from insurers who specialize in writing mobile home policies. The Triple-I recommends you obtain a minimum of three quotes to compare coverages and costs.

How much does mobile home insurance cost?

Because it’s not as common as standard homeowners insurance, many people aren’t sure exactly how much is mobile home insurance for the average policy.

Mobile home insurance policies often cost more than the cost of standard homeowners insurance policies due to the higher risks associated with manufactured homes. While the average cost of mobile home insurance throughout the nation is not available, the best way to estimate how much you’ll pay is by shopping around.

Many factors determine the cost of mobile home insurance. They include:

• The area you live in
• Weather risks, including hurricanes, tornadoes and flood
• Wildfire risks
• The crime rate in your neighborhood
• Proximity of first responders, such as police and fire departments
• Value, age and condition of your mobile or manufactured home
• Policy limits for basic coverages: dwelling, liability and contents
• Additional coverages such as flood, earthquake and windstorm
• Deductible levels

There are also a few ways to earn discounts on your mobile home insurance premium. Common discounts include:

• Being the original titleholder of the mobile home
• Bundling your mobile home insurance with other policies through the same insurer, such as your auto coverage
• Installing a home security system
• Retirement and/or senior discounts

What is the difference between mobile home insurance and standard home insurance?

As similar as they are, mobile home insurance is different from standard homeowners insurance coverage because of the major structural differences between the dwellings being covered.

Since mobile homes are not attached to a foundation, they have a few more inherent risks. Fires, wind and broken pipes all pose a bigger threat to a mobile or manufactured home, and mobile homes are more likely to be targeted for theft. On the other hand, the total value of a mobile home is usually lower than a stick-built home. Since they carry such distinct risks, insurers prefer to group mobile homes into their own type of policy.

Frequently asked questions

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    Why is mobile home insurance more expensive?

    Mobile home insurance is more expensive because of their higher risk to withstand hazards, such as hurricanes, tornadoes, floods and fires. Mobile homes are also at a higher risk for theft and vandalism.
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    Will my homeowners insurance policy cover my mobile home?

    Standard homeowners insurance policies do not cover manufactured homes, and the cost of a homeowners insurance policy is also different. Mobile home insurance is considered a specialty insurance product. If you have an existing standard home insurance policy or auto insurance policy and need to insure a mobile home, contact your agent or insurer to ask about bundling discounts.
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    Do I need a mobile home insurance policy for my modular home?

    Mobile homes and modular homes are similar in that they are both produced in a factory. A mobile home insurance can cover both types of homes, and you’ll typically be able to adjust the coverage and limits to what suits your needs.
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    How can I save money on my mobile home insurance policy?

    To save money on your mobile home insurance policy, you can look for discounts offered by a carrier. These could help in lowering your final premium. It’s also possible to review your coverage types and limits to see if you may be over insured, but keep in mind that reducing your coverage could result in less protection during a loss. You could adjust your deductible to a higher amount to possibly help lower your premiums, although you should make sure this is an amount you could comfortably pay out of pocket.