Mobile home insurance cost and coverage in 2024

The average cost of mobile home insurance is between $700 and $1,500 per year. Rates vary by location and factors related to the home. Like traditional homeowners insurance, mobile home insurance protects your home and its contents. 

It also provides liability protection and pays for a place to live if your home is being repaired after a covered loss.

Mobile home insurance is required by your lender, but even if you own your home outright, insurance is vital. Without it, you could lose everything to a fire, natural disaster or other destructive event.

What is mobile home insurance?

Mobile home insurance — also known as manufactured home insurance — is similar to traditional homeowners insurance. It provides coverage for the home and contents, liability for the homeowner and loss of use coverage.

Many homeowners insurance companies sell mobile home insurance, but not all of them.

“Insurance for mobile homes may not be available through your standard homeowners insurer,” Carole Walker, executive director of the Rocky Mountain Insurance Association, says. “But there are companies that specialize in mobile and manufactured home coverage.”

What’s the difference between mobile, manufactured and modular homes?

Before you shop for a mobile home insurance policy, make sure you understand how mobile homes differ from manufactured homes and modular homes.  According to the Manufactured Housing Institute, they differ in terms of where, when and how they are built. Older mobile home insurance typically uses that terminology, while newer mobile homes built after 1976 are called manufactured homes.

 

Mobile home

These are actually manufactured homes, but the term mobile home specifically applies to homes produced before June 15, 1976. On that date, the HUD Code went into effect and the requirements for construction of manufactured homes changed. 

Manufactured home

A home built in a factory and then transported to and installed at a site. Manufactured homes are built according to the HUD Code (formally the Federal Manufactured Home Construction and Safety Standards), a national standard that ensures the proper design and safety of manufactured homes.

Modular home

These are also factory-built homes, but instead of falling under federal guidelines, they are built according to standards set by state or regional codes in the area where the home will be located. As with the other homes on this list, they are later transported to and installed on a site.

Unlike manufactured homes, modular homes are delivered in two or more pieces and built on crawlspaces or basements. They also look more like traditional “stick-built” homes.

What does mobile home insurance cover?

A mobile or manufactured home insurance policy covers the same basic things as any homeowners insurance policy.

Dwelling coverage

The dwelling coverage portion of your policy protects the home itself from perils like fire, hail, wind and vandalism or falling objects. It also includes attached structures like a deck.

Other structures

This covers any other structures on your property that are not attached to the mobile home, like a shed or detached garage.

Personal property

Covers all of your personal belongings; like standard homeowners insurance, your belongings are also covered off the premises. For example, if you’re on vacation and your hotel room is robbed.

Personal liability coverage

Personal liability coverage applies if you are responsible for injuries or property damage to someone else, whether on or off your property. It will also provide assistance if you face a lawsuit.

Mobile home coverage typically is available for all of the following:

• Commercial mobile homes
• Mobile homes located in a park or on private property
• Mobile homes used seasonally
• Rental mobile homes

Note that mobile home insurance is typically an actual cash value policy. That means that losses are paid based on the depreciated value of your mobile home and its contents. Some companies offer replacement cost coverage as an option for an additional premium, but it may only be available on newer, well-maintained manufactured homes.

What doesn’t mobile home insurance cover?

Like any home insurance policy, there are mobile home insurance exclusions, which are the things home insurance doesn’t cover. For example, many policies do not cover the mobile home while it is in transit, although some insurers may offer the option of purchasing temporary coverage during the transit phase.

Also, as with homeowners insurance, flood damage is not covered by mobile home insurance You need to purchase a separate flood insurance policy to get that type of coverage.

Mobile home insurance doesn’t cover earthquakes, either; you need an endorsement or a separate policy to be covered.

Mobile and manufactured home insurance doesn’t apply to the type of mobile home that has an engine and wheels, only to a mobile home that is deposited on site and doesn’t move on its own. For that type of mobile home, you need to purchase an RV policy.

How much does home insurance cost?

How much is mobile home insurance? According to insurance agent collaborative Trusted Choice, the average mobile home insurance cost is between $700 and $1,500 annually. However, it can cost considerably more than this in some situations.

Many factors impact your mobile home insurance rate, ranging from the age, condition and location of your home to your coverage limits and claims history.

“Mobile homes can represent a variety of different risks than typical homes that will affect the cost to insure, and may have different limits and deductibles,” Walker says. “So, it’s important to shop around and ask about coverage options.”

Some companies also offer home insurance discounts on mobile home insurance policies. For example, installing a home security system or membership in specific organizations may give you a price break. Bundling your insurance policies together with the same company, particularly with car insurance, can reduce the cost of both policies.

Finally, a higher deductible can lower premiums. For example, you may pay less if you raise your deductible from $500 to $1,000. However, it is important to make sure you can afford to pay the deductible should you suffer a loss.

Remember that cheap mobile home insurance isn’t always the best coverage; review the policy and make sure it meets your needs.

Mobile home insurance companies

Finding good mobile home insurance is typically not difficult. There are many mobile home insurance companies for you to shop and compare rates.

However, finding a policy may involve slightly more work than purchasing coverage for a more traditional home with a foundation.

“Not all insurance companies offer mobile home insurance or offer policies in all states, so you’ll need to shop around,” Walker says.

That said, there are some big insurance companies that do write mobile home policies.

Major companies that offer mobile and manufactured home insurance include:

• State Farm
• Farmers
• Allstate
• Liberty Mutual
• Progressive
• American Family

It’s worth noting that some of these companies may partner with a specialty insurer to underwrite the policy and don’t underwrite it directly.

How to get older mobile home insurance

If you have an older mobile home, you may find that it doesn’t qualify for a policy from some of the companies that insure newer manufactured homes. That’s largely due to the lack of construction standards on older mobile homes that represent an increased risk for insurance companies.

However, there are companies that specialize in insuring older mobile homes. Many are specialty insurers, such as:

• American Modern
• Foremost
• Assurant

If you’re having trouble getting insurance for an older mobile home, enlist the help of an agent who specializes in harder-to-insure homes or who knows the mobile home insurance market well.

Do you have to get mobile home insurance?

Mobile home insurance is not required by law, but if you have a mortgage on your home, your lender will likely require you to carry a minimum amount of insurance. The requirement is in place to protect the lender’s investment in your home.

If you do not have a loan on the home, buying mobile home insurance is optional. However, it’s highly recommended to provide financial protection for your home and belongings.

How to find the best mobile home insurance

Before comparing quotes for manufactured home insurance, make sure you know what type of coverage you need and how much you need. If you’re unsure, it makes sense to talk to your insurance agent.

The best manufactured home insurance for you may not be what works for someone else, so it’s important to shop around and enlist expert help. A lot of the best home insurance companies in the country offer mobile home insurance, so you have options. Take the time to compare them on:

• Price
• Coverage, including any included extras
• Financial stability
• Reputation for customer service and claims handling

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