Manufactured Home Insurance: Important Things to Know

If you have decided to purchase a manufactured home, you’ll find yourself in need of manufactured home insurance. Whether you are new to the manufactured home lifestyle or you’re an old pro, there are a few important aspects to look at when considering the right plan.

According to iNSWEB, manufactured homes account for approximately 25% of the new home structures across the United States. This is good news because it means there are ample choices out there for manufactured home owners when it comes to insurance policies and companies.

Since all manufactured homes need to be protected with an insurance policy, knowing what’s available and what to look for can help ensure that you find the policy that keeps you covered.

What your policy should cover

The idea behind manufactured home insurance is to have financial protection in the event of the loss of your home or its contents. If your property is destroyed or damaged, your insurance policy should be there to cover the expenses. Damage hazards should include:

• Storm damage and loss due to water damage from burst pipes, rain and flood damage, collapsed roof from snow, wind, acts of nature (tornadoes, landslides, hurricanes, etc.)
• Vandalism and theft–there may be special riders for high-end items such as expensive jewelry, art, collections, electronics, etc.
• Liability–medical insurance in the event that someone is injured on your property
• Fire loss

Choosing the right insurance

When looking at insurance plans, keep in mind that there are two home types distinguished by mobile home insurance companies. These are:

• Modular homes: Built on site and affixed to a permanent foundation. These types of homes often fall under standard home insurance policies.
• Manufactured homes: Constructed in a factory and towed to their site, which is not generally a permanent foundation. These types of homes require a special manufactured home insurance policy.

When reviewing home insurance policies, remember to look for other incidentals such as who pays for your temporary living expenses in the event that you need to vacate your home during repairs. To avoid disappointment or costly expenses, it is just as important to understand what your insurance policy does include, as it is to understand what your comprehensive home insurance does not include.