Homeowners Insurance/Depreciation

[Toby]

Hello: I am re-posting this. Hope it's not a duplicate.

We have a doublewide Titan manufactured home on our own land in rural New York State which we financed with a conventional bank mortgage three years ago, when the home was brand new.

This week while reviewing our homeowners policy, I asked the agent if we had replacement coverage on our home. (The policy clearly states the contents have replacement coverage.)

I was informed our policy is for actual cash value of the home, not replacement cost. After five years, our home will be depreciated every year (although, the cost of the premium will never be reduced!). She said she knew of no companies who offered replacement coverage on any mfg'd. homes, new or used, in New York State.

We paid $55,000 for our home. It is in the middle of several improved acres. We cannot for the life of us figure out what could possibly go wrong or depreciate on this home year after year to lower its value. We purchased every single upgrade available, and ended up with a home every bit as durable, if not more so, than stick built. The hitch was removed and our home is securely anchored to a concrete foundation as required by our mortgage lender.

Was our agent's statement true about New York State?

[Kenneth Quist]

There are companies who write in NY and have policies which offer the option of replacement cost on the home or what they call stated value. Many direct writers offer only ACV policies. You are correct in wanting to cover your investment with replacement cost on your home.

[r murray]

I think your agent is wrong about replacement cost in NY...There are many companies that probably handle this in your state...This web site has a section on insurance where you can submit for quotes....Give it a try...

I am with you...replacement cost would be my only choice and it is usually a very inexpensive option..

[Rex]

Hello,
We are closing on our MH in AZ in about two weeks. It is permanently secured to a block / pit foundation on our own deeded lot in a planned community. Silly me, I thought that since we'd been with FARMERS Insurance for nearly 30 years (in the same site built home) they would continue to be our insurance carrier. Lo and behold FARMERS doesn't write for MH's. It will now transfer to Foremost which is a subsidary of FARMERS. My concern is replacement cost on home and contents and the reliability of Foremost, which I've never heard of.
Does anyone have any information on homeowner's insurance available to MH in AZ. Any recommendations?

Smiles from Colorado,
Rex

[Mia]

We purchased a doublewide and put in a park 6 years ago. WE were told then that it would depreciate in a park, but if we put it on a foundation it would appreciate like a normal house.

mia