Manufactured home insurance is different than other types of homeowner insurance. Resolve your questions and concerns here!
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Post by richard » Fri Mar 23, 2007 12:31 pm

I am in the process of trying to buy a 30x68 home with a price of around $90,000. I intend to underpin this with concrete block and add a concrete porch. If 10 years from now this burns will I just recieve a NADA book price or if it is coverered for what I paid do I get $90,000. What about the concrete work. Does anyone sell replacement policies like they do on a stick built house ? Also what about personal liability coverage ?

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Re: Replacement

Post by rmurray » Fri Mar 23, 2007 8:10 pm

Sounds like questions for your agent...Every homeowners policy is different...Many DO have replacement cost available on the home AND the contents...Most do cover personal liability as well...Al most all policies will have more coverages....Just be sure to read your policy when you do get it...

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Re: Replacement

Post by admin » Mon Mar 26, 2007 2:39 pm

It is dangerous to speak of insurance in general terms because, even though, we may speak of the same company, programs, rates, and optional endorsements can vary from state to state. It is extremely important to clarify what is available in your state by reading the terms and conditions of your policy. With that said, it is common among insurance companies to offer one or more of the following endorsements.

Replacement Cost Endorsement - Like a stick built home insurance policy, this would pay to replace your Manufactured and/or Mobile Home with a New Manufactured home of like size and quality in the event of a total loss. The availability of this endorsement depends on the state, ask your agent if it is available.

Stated Value Endorsement- This may be offered in lieu of the Replacement Cost Endorsement. This endorsement ensures what you insure your home for, is equal to what you get paid in the event of a total loss. Consequently, if replacement cost is not available, you can insure your Manufactured and/or Mobile home at a value that would allow you to replace your home with a similar year of like size and quality. Now there may be limitations on how much you can insure an older mobile home for, but that will vary by company. So, if replacement cost is not available, ensure that you have a stated value endorsement included on your policy and that you insure your home for an amount that would allow you replace it.

The key here is to stay away from any policy that insures your home at the "actual cash value" of the home. This is the worst option available, but is fairly common. This option leaves you at the mercy of the insurance company; not a good place to be.

The other optional endorsement, that you will want to have, is the replacement cost for partial losses. This coverage protects you from an Actual Cash Value settlement in the event of partial losses. In other words, your wind damaged roof is not depreciated before the company pays. So it protects you from having to pay an exorbitant amount to pay for something you thought you had insured. This coverage does NOT waive the deductible, but rather protects you from depreciation. Many times, in order to be eligible for this endorsement, you have to have the home insured at a stated value of 100% of the replacement cost of the home.

Most insurance companies that specialize in manufactured/mobile homes, have two options when it comes to insuring you home. Their standard package that generally includes coverage for the dwelling (the home), any adjacent structures and additions, personal property or contents, liability, and medical payments. The other options is a byline option that allows you to include or exclude any combination of the coverages described above. It does not generally save you money to do a byline option due to discounts applied upon selecting their standard coverage. But again, refer to your terms and conditions to ensure that it is covered in your policy.

Coverage varies from company to company and from state to state. It is extremely important to read the terms and conditions of your policy before purchasing the policy. The endorsements and coverage explanations above are intended to be general descriptions of possible coverage options, and do not represent the coverage options of any particular company in any particular state. For a more detailed description of coverage available in your state, please feel free to contact MH Insurance Professionals by filling out the form found at
David Oxhandler
mailto:[email protected]

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Re: Replacement

Post by knitwitt » Wed Jun 25, 2008 7:20 pm

it seems that everyone in Florida has to go with Citizens because nobody else is writing.I do not understand the statues on our insurance issues since they state that if your home is not repaired, your insurer cannot drop your policy, yet there is no protection against it. Citizens was suppose to be the affordable alternative, yet their policies are double- who protects you? As far as purchasing a new home, you have so much against you. The new mitigation program that started out to assist the mobile home owners and now does not even apply to us,as is the same for many insurance laws- they apply only to site built and not mobile home owners. I really thought the Fl. Manufactured Homes Association would stand up against it but so far they have been very quiet.

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Re: Replacement

Post by danar » Tue Aug 19, 2008 6:16 pm

What the admin has posted above is correct - I am in the middle of an insurance claim and I made the mistake of having actual cash value after putting 1,000's of dollars into my home. It is used as a cottage so I purchased insurance close to where my mobile home sits thinking that this agency knows the values in the area just off the beach. I bought the insurance 2 yrs ago and now they are telling me that my home is not worth much????? In this park they sell for 45,000 - 60,000 (single wides) They have sent out an apprasier to get a value since its totaled. Do they take in account where the home sits and property values around me? PS we rent the lot...

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