Best Mobile and Manufactured Home Insurance

It’s estimated that over 20 million people live in mobile and manufactured homes across all 50 states. There are also over 100 manufactured home plants in the United States producing nearly 100,000 new manufactured homes every year.

As with any property you live on, you must protect your mobile and manufactured home from damage. The best way to do this is with mobile home insurance. 

Use our guide to learn the necessary details to make an informed mobile home insurance decision.

Both mobile homes and manufactured homes were assembled in a factory and then brought to the property or plot they currently reside on. For clarity, mobile and manufactured homes were once the same things until 1976, when the Housing and Urban Development Department established new building codes and safety regulations for the dwelling and did away with the term “mobile home,” officially calling them “manufactured homes” from then on. 

So, while the names are still often used interchangeably, technically, actual mobile homes may be much older than many modern manufactured homes. Additionally, modular homes look similar, but they’re built to local and regional building standards rather than the federal HUD standards that manufactured homes follow. 

As a result of their different construction methods and related costs, mobile and manufactured homes require HO-7 policies, which are slightly different from the most common type of homeowners insurance called the HO-3 form for standard houses. 

Below, we’ll outline what homeowners insurance for mobile homes, when you need it, and how much it costs.

Mobile home hazard insurance typically has property coverages, which protect the structure and personal belongings of your mobile home from potential sources of damage. Policies also include liability coverage to protect from legal and medical fees you could face if someone gets hurt on your property.

Insurance for mobile homes is often divided into different sections based on the coverages it provides. The usual mobile home insurance coverages are:

Mobile and manufactured home dwelling coverage covers the cost of rebuilding or repairing your mobile home and its permanently attached structures, such as decks, awnings, skirting, and more. Other structures coverage financially protects the features on your property not attached to your mobile homes, like fences, and sheds, if applicable.

Personal property coverage covers your belongings in and around your manufactured home property. This includes clothing, furniture, electronics, jewelry, tools, and more. 

Liability coverage protects your financial well-being if you’re found legally responsible for someone else’s injuries or property damage. 

For example, if your dog bites someone or your tree falls on a neighbor’s property and injures them or damages their house, your liability coverage can cover the costs if the affected party pursues you. Medical payments coverage is an offshoot of liability coverage and is designated for minor injuries only.

Many mobile home insurance policies also include loss of use coverage, sometimes referred to as additional living expenses. This coverage comes into play when you’re forced to move out of your mobile or manufactured home after covered damage, and you need to live somewhere while repairs are being made. Loss of use coverage can cover hotel stays, food, gas, and more while you’re displaced.

The property coverages in your insurance policy will only reimburse you for damages when they’re covered in your policy. Not every potential source of damage, called a peril, is covered. Most mobile home insurance plans cover the following common perils:

Mobile home insurers often cover many more unusual types of potential damage, like volcanic eruptions and damage from riots. But, the ones listed are much more common.

For example, if an electrical fire burned down your manufactured home, the cost to rebuild your home will fall under your dwelling coverage. The items that were lost in the fire would be reimbursed through your personal property coverage. And, your loss of use coverage would cover your hotel stay while the house is being rebuilt.

Note that home insurance for mobile homes typically excludes damage from earthquakes and floods. You can get separate coverage for these events if you’re concerned about them. If you live in a high-risk flood zone, your mortgage lender will require you to get flood insurance.

Most, but not all, major insurance carriers will cover mobile homes. You can also find some providers who specialize in covering mobile and manufactured homes. A list of insurance companies that insure manufactured homes includes:

Most large carriers have ways to quote online. However, trailer home insurance may require additional underwriting and risk analysis, making it difficult to buy mobile home insurance online entirely. You might be best off reaching out to an agent or company representative when quoting.

The best mobile home insurance companies will recognize your mobile or manufactured home and allow you to adjust your coverages while protecting your property completely at an affordable rate.

Not every carrier is keen on insuring manufactured homes because of their increased susceptibility to damage. But many of the largest insurers in the country, like Progressive, Liberty Mutual, and others cover mobile homes. Often, their policies won’t be much different from a standard HO3 plan.

Some carriers who write mobile home insurance policies will have two coverage plans: a basic package and an upgraded one. 

An upgraded policy may include replacement cost, ordinance or law coverage, and more. With Foremost, a popular mobile home insurer, an upgraded policy also covers some instances of flood damage. Naturally, an upgraded plan will be more costly than a basic one. Remember that the cheapest mobile home insurance isn’t always the best option.

Modular homes are manufactured in sections in a standardized process in a factory. They are then shipped in pieces to the build site and assembled there. Since modular homes are built on-site and much more similar to traditional houses, owners of these dwellings can often get an HO-3 policy.

Modular homes differ from manufactured and mobile homes because modular homes are never movable, have permanent foundations, and can be much more varied. For instance, modular homes can have multiple levels.

Homeowners insurance for modular homes may need an extra level of approval for underwriting, but they’re often eligible for HO-3 policies, as opposed to HO-7 plans for manufactured and mobile homes. 

Look to many of the traditional insurance carriers for modular home insurance quotes. There aren’t many dedicated modular home insurance companies since they’re usually covered by standard home insurers.

Mobile home insurance can cost anywhere from a few hundred dollars to over a thousand annually. The average of mobile home insurance will vary by company and state due to several factors, like your state, coverage amounts, and other risk factors.

Mobile and manufactured home insurance is likely cheaper on newer dwellings, though. Also, coverage in coastal states, like Florida, Georgia, and North Carolina, will likely be more expensive than coverage in inland places like Iowa.

Mobile and manufactured home insurance can cost between hundreds of dollars to a couple thousand dollars yearly. Some major factors that affect the average cost of mobile home insurance are:

Older mobile homes will likely cost more to insure. They aren’t built up to the latest building and safety standards, making them riskier. Older mobile homes tend not to withstand severe weather as well as newer ones. They’re also more likely to have structural issues that lead to an insurance claim, like leaky pipes or faulty wiring systems. The increased risk raises premiums.

Larger mobile and manufactured homes need more coverage, so policies for larger homes usually cost more. For instance, triple and double-wide home insurance will probably cost more to insure than single-wide ones given many other variables are the same. 

Location is also critical to insurance companies. Your location determines what severe weather hazards you’re susceptible to, which is a vital concern to manufactured home insurers. Mobile and manufactured homes in hurricane-prone or tornado-prone areas will likely have higher premiums.

For instance, Florida and Texas have the highest number of mobile homes in the country, and mobile home owners – especially near the coast – in these states tend to pay higher premiums due to the threat of hurricanes. South Carolina also has a large proportion of mobile homes and high premiums.

Perhaps the most direct variable affecting the cost of your policy when insuring a mobile home is the contents of your policy. As mentioned earlier, the more coverage, meaning the higher limits you have, the more you’ll pay for insurance. Choosing extra, optional coverages or endorsements to add to your policy, like water backup or replacement cost coverage, can also raise the cost of your plan.

You choose your deductible when you get a manufactured home insurance policy. Your deductible is the amount you pay when you file a claim before your insurance company steps in to cover the rest of the bill, up to your policy limits. 

Your deductible affects your premium. You can choose a higher deductible to lower your premiums. If you choose a higher deductible, you’re willing to pay more out-of-pocket before invoking your insurer. Your provider rewards you with lower premiums for selecting this, so choosing a higher deductible is a good way for some to keep mobile home insurance costs down.

Despite the lower purchase prices of mobile and manufactured homes, mobile home coverage may be as much or more expensive as standard home insurance, depending on where you live. In places like Florida, where the threat of weather-related hazards is very high, mobile and manufactured homes often cost more to insure.

Less insulation, potential lack of foundation, smaller sizes, and more can cause mobile homes to be more susceptible to damage than a traditional house. 

As a result, home insurance for manufactured homes or mobile homes in some areas can cost just as much as homeowners insurance in that area. This tends to be the case in many southeastern states where residents’ chances of experiencing a strong hurricane or major flood are high.

In other areas, manufactured mobile home insurance can be several hundred dollars cheaper per year than homeowners insurance. Mobile homes are smaller, and in a low-crime, hazard-free area, you’ll likely save on insurance for them. 

The best way to go about getting cheap manufactured home insurance is always to get several quotes. Shopping around allows you to compare rates, discounts, coverage options, and endorsements among mobile home insurance providers. 

Rates will vary by carrier depending on location and time. Depending on their strategy and financial situation, some companies may lower rates to attract new policyholders. You can shop around at any time, and you can usually switch carriers if you find discount mobile home insurance with another manufactured home insurance company mid-term. Watch for potential cancellation fees, though.

The best and top-rated mobile home insurance companies also offer several discounts for property owners. For instance, some providers offer discounts to residents of certain mobile home communities or policyholders over a certain age (often 50). Always ask about what discounts you can receive. 

Adjusting your coverage amounts will also affect average mobile home insurance rates. Avoid overinsuring yourself with unnecessarily high limits for dwelling and personal property coverage. Conducting a home inventory that lists the value of all your belongings is a great way to determine exactly how much personal property coverage you need.

Also, while it’s always good to have more liability coverage than you need, lowering your liability limits will also reduce premiums and get you more affordable mobile home insurance. Just be sure not to go too far and sacrifice necessary coverage for savings.

Mobile home insurance isn’t required by law. Instead, mortgage lenders mandate lendees to have a policy to protect the joint investment made by the bank and the resident. Additionally, some mobile home communities may require residents to maintain coverage.

Mortgage lenders require homeowners insurance for manufactured homes to protect their investment in your property. If your dwelling was completely destroyed, the chances a resident has tens of thousands to pay the bank for the life of the loan so they can recoup their investment in the property is very low. This is where the insurance company crucially comes in and covers costs.

Additionally, some mobile home communities and parks will require residents who stay there to have a policy, likely for liability reasons. If you don’t have a mortgage lender or a community that requires you to have a manufactured housing insurance policy, the option to cover your mobile home is up to you. 

We highly recommend protection. Your mobile or manufactured home is a significant investment, and you don’t want to be left without help in a worst-case scenario.

If you’re unsure of where to start getting mobile home insurance quotes, you can utilize the knowledge and expertise of an independent insurance agent. An independent agent will work with several providers to find the best mobile home insurance company for you.

At Clovered, our agency has two ways to help you find mobile or manufactured home insurance quotes. You can use our online quoting tool to get quotes online. Or, you can call us at 833-255-4117 and speak with one of our licensed agents who would love to help you find a plan with some of the best mobile home insurance carriers we partner with. We want you to find the best insurance for manufactured homes at a price that works for you.