What You Need to Know
What is Mobile Home Insurance?
Mobile home insurance is a specialized form of insurance that protects prefabricated homes—specifically mobile homes (built before 1976) and manufactured homes (built after 1976 under HUD standards). These homes are factory-built and transported to their installation site, making their insurance needs unique compared to traditional site-built homes.
Who Needs Mobile Home Insurance?
This type of insurance is designed for individuals who own or live in a mobile or manufactured home. In Montana, where 11% of all housing units are mobile homes, protecting this investment is essential due to the risks associated with weather, theft, and other perils.
Coverage Options for Mobile Homes
Mobile home insurance offers many of the same coverage types as standard homeowners insurance, but it’s tailored for the specific risks and construction of mobile and manufactured homes.
Standard Coverages:
- Dwelling Coverage: Protects the physical structure of the mobile or manufactured home.
- Personal Property Coverage: Covers belongings inside the home, such as furniture, electronics, and clothing.
- Liability Coverage: Provides protection against legal claims if someone is injured on your property or if you cause property damage.
- Additional Living Expenses: Covers temporary housing costs if your mobile home becomes uninhabitable due to a covered loss.
Common Perils Covered:
- Fire
- Wind and hail damage
- Theft and vandalism
- Falling objects
- Water damage from sudden, accidental events
Unique Features of Mobile Home Insurance
Mobile home insurance includes specific features not typically found in traditional home insurance:
- Transit Coverage: Some policies offer coverage while the mobile home is being transported.
- Replacement Cost Options: Many policies allow for replacement cost coverage rather than actual cash value, ensuring your home can be rebuilt or replaced without depreciation.
- Coverage for Additional Structures: Sheds, garages, and other structures on the property can also be covered.
Exclusions to Be Aware Of
Mobile home insurance policies do not cover everything. Common exclusions include:
- Flood and Earthquake Damage: Separate policies are needed to cover these risks.
- Wear and Tear: Damages due to lack of maintenance are typically not covered.
Factors That Affect the Cost of Mobile Home Insurance
Mobile home insurance is generally more expensive than traditional home insurance due to the increased risks mobile homes face. Here are some of the factors that impact cost:
- Age and Condition: Older homes, especially those built before 1976, may be more expensive to insure.
- Location: Homes located in areas prone to extreme weather, like wind or hail, often have higher premiums.
- Safety Features: Homes with added safety features like alarms, storm shutters, or reinforced foundations may qualify for discounts.
- Coverage Limits and Deductibles: Higher coverage limits and lower deductibles will increase the premium.
The average cost of mobile home insurance in the U.S. ranges from $700 to $1,500 annually, but this can vary depending on the factors mentioned above.
Why Do You Need Mobile Home Insurance?
If you own a mobile or manufactured home in Montana, mobile home insurance is often required by lenders or mobile home parks. Even if you own your home outright, having insurance is a smart way to protect your investment from unexpected events like fire, theft, or severe weather.
Key Differences Between Mobile Home Insurance and Standard Homeowners Insurance
Mobile homes have specific insurance needs, which makes their coverage different from traditional homes:
| Coverage Type | Mobile Home Insurance | Standard Homeowners Insurance |
| Dwelling Coverage | Covers mobile/manufactured homes with different valuation options | Covers site-built homes, usually with replacement cost coverage |
| Personal Property | Similar coverage for belongings inside the home | Covers personal property at replacement cost or actual cash value |
| Liability Coverage | Covers legal claims against the homeowner | Same, typically with higher limits available |
| Loss of Use | Covers temporary housing costs if home is uninhabitable | Same coverage |
| Transit Coverage | Optional coverage while home is being moved | Not applicable |
FAQ
Q: Is mobile home insurance required by law?
No, but it is often required by mortgage lenders or mobile home parks.
Q: What is the difference between mobile home and manufactured home insurance?
They are very similar. The main difference is the age of the home—mobile homes were built before 1976, and manufactured homes were built after, adhering to HUD standards.
Q: Does mobile home insurance cover moving the home?
Some policies offer transit coverage for moving, but you may need to purchase this as an add-on.
Q: Can I add flood coverage to my mobile home insurance?
Flood coverage is typically a separate policy, but it can be added if you live in a flood-prone area.
Q: How do I lower my mobile home insurance premiums?
You can reduce your premiums by installing safety features such as smoke alarms, storm shutters, or reinforcing the foundation.
Get Your Mobile Home Insurance in Miles City, Montana
If you own a mobile or manufactured home, Armor Insurance Agency in Miles City, Montana, can help you find the right policy.
Whether you need coverage for a newer manufactured home or an older mobile home, our team will guide you through the process and ensure your investment is well-protected.