Just because your home is on wheels, doesn’t mean it doesn’t need protection. How your home is built doesn’t make you immune to Oklahoma’s crazy weather or vandalism. It’s still a smart idea to take out mobile home insurance for your mobile or manufactured home. As an independent insurance agent in Tulsa, OK, we can help you find the best coverage for your specific home and budget. Before we get to that, let’s look at the ins and outs of mobile home insurance in Oklahoma.
What is a Mobile or Manufactured Home?
A traditional home is built from the ground up and foundations are laid in the ground before the structure is built. Conversely, a mobile or manufactured home is built in a factory and delivered to your plot of land – be it on private land or in a park. Some mobile homes are on wheels and others are laid on permanent slabs for added stability.
An important note: The more “secure” and “on the ground” your home is, the lower your premiums are likely to be. A home on a slab is less risk to ensure than one on wheels.
A modular home is also built in a factory but it arrives for assembly in multiple pieces and is put together on-site.
Characteristics & Features
- The defining characteristic of a mobile home is its transportable nature, specifically being fixed to a chassis instead of built on a permanent foundation.
- Mobile and manufactured homes are anchored to the ground using tie-downs and piers. This lack of a permanent slab makes them especially susceptible to wind uplift and severe weather, often requiring special endorsements for wind coverage.
- Their lightweight construction materials can be more vulnerable to fire spread and hail damage than a site-built home.
- The homes are categorised by width as double-width units provide greater structural stability and often enjoy lower premiums as a result.
- Older mobile homes built before 1976 HUD safety standards face stricture underwriting guidelines due to outdated electrical systems and insulation, increasing your fire and frozen plumbing risks.
Can a Mobile or Modular Home Be Insured With Traditional Homeowners Insurance
Generally, you cannot insure a mobile or manufactured home with traditional homeowners insurance in Oklahoma. However, some modular homes can be insured with a traditional policy.
Mobile and manufactured homes require specialized insurance. If your home has been built on a permanent steel chassis (i.e. it CAN be moved even if you never intend to move it), it is considered a manufactured or mobile home. They do not qualify for traditional policies because:
- They are built to federal HUD codes, not local building codes
- They sit on a chassis and use tie-downs instead of a slab, they have a higher risk profile for wind and structural damage
- Mobile home policies default to cash value instead of replacement value (cost to rebuild)
What is Mobile Home Insurance?
Mobile home insurance (often called manufactured home insurance) is a specialized property insurance policy designed to cover homes built in factories rather than on-site. Because they are constructed differently to traditional homes, they require a special type of policy form to traditional policies. Here’s a breakdown of what they cover.
What it Covers
- Dwelling Coverage: Pays to repair or replace the physical structure of the home if it is damaged by covered perils like wind, storms, vandalism, fire etc).
- Personal Property: Covers belongings inside the home like furniture, clothes and electronics if they are stolen or damaged.
- Liability Protection: Protects you financially if someone is injured on your property or if you accidentally damage someone else’s property.
- Loss of Use: Pays for hotel and food costs if a covered disaster makes your home unliveable while it’s repaired or replaced.
- Actual Cash Value: Mobile homes are generally insured for the actual cash value – i.e insurance pays you out what the home is actually worth right now. If you have an older mobile home, your ACV settlement may not be enough to buy yourself a new one.
Common Exclusions
- Floods: Standard mobile home policies don’t cover flood damage.
- Transit: If you decide to move your mobile home to a new location, you standard policy will not cover any damage while it is being towed or transported. You will need a special trip endorsement for this.
Why do you Need Mobile Home Insurance?
Given the unique risks associated with mobile homes, mobile home insurance isn’t just a “good idea,” it’s a no-brainer when it comes to protecting your finances.
- Unique Vulnerability to Weather: Mobile homes are just built different. They are light-weight and not permanently anchored to the ground which makes them statistically more susceptible to hail, rain and storm damage. Insurance transfers this high risk from your wallet to the insurance carrier. In Oklahoma, this couldn’t be more true. Here’s a reminder of our unique winter weather challenges in Oklahoma.
- Liability Protection: You may just be thinking of protecting the structure itself, but liability cover is just as important. If a guest slips on your stairs, a delivery person is injured on your property or your dog bites the neighbor, you could be sued for medical bills and/or legal fees. Without your policy you could lose you savings or wages in a lawsuit.
- It’s Often Mandatory: Sometimes you don’t have an option. If you took out a loan to buy the home, the lender will likely insist on mobile home insurance to protect their financial interest. Similarly, if you lease a plot in a community, the park often requires you have liability coverage as a condition of your lease.
- Protect What Matters: If a fire or burglary sees you lose all or most of your belongings, replacing a whole house-worth of furniture and clothing will sink you financially.
- Loss of Use Coverage: If a fire or tornado renders your mobile home unlovable, you need a place to stay… and forking out for a hotel can drain your savings in days. Mobile home insurance typically includes Additional Living Expenses to pay for temporary housing while your home is being repaired.
- High Repair Costs: While mobile homes are built using cheaper materials that are more affordable when buying the home itself, specialized repairs to the siding or roofing can be surprisingly expensive. Don’t let a common occurrence like hail turn into a total financial disaster.
How Much Does Mobile Home Insurance in Oklahoma Cost?
Mobile home insurance in Oklahoma tends to be significantly higher than the national average. While national averages sit between $800 – $1500 per year, in Oklahoma you should budget for a higher range, typically $1200 to $4000 per year for full coverage. The cost varies greatly depending on the insurance carrier and the value of your home.
That is why using an independent agency like AAA Zoellner Insurance can help you secure the cheapest mobile home insurance in Oklahoma. We shop around for the best rates and negotiate the most favorable terms.
What Factors Influence The Cost of Mobile Home Insurance?
- Coverage type: Basic coverage starts at around $800 per year, whilst standard coverage ranges from $1500 to $3000/year.
- Age of home: New builds can cost as much $5000 per year for a new double-wide or modular home. Likewise an older home can be seen as higher risk and also attract higher premiums.
- Weather Risks: Oklahoma is in the heart of tornado valley meaning insurers payout massive claims for wind and hail damage quite frequently.
- Tie-Downs: If your home does not have a certified tie-down system, your coverage may be denied or you’ll be charged a massive premium
- Credit Score: In Oklahoma, insurers are allowed to use your credit score when setting your rates. A low score can mean higher premiums because you’re at higher risk of defaulting on your payments.
Questions to Discuss With Your Zoellner Insurance Agent
It is important to know that mobile home insurance is meant to cover unexpected damage, not routine maintenance. Ask your Zoellner AAA agent about what is covered and be sure to read your policy so you know exactly what’s included and what is not. Here are few things to discuss with your agent that will influence your decisions:
- How much will it cost to rebuild and replace my belongings if they are damaged or destroyed?
- Does the insurance company have a good reputation for customer service? Is it known for paying claims fairly and promptly?
- What discounts are available? (Ask about multiple policy, security system and fire resistance discounts.)
- What’s the process for filing and settling a claim? (Ask who to call and what happens after you file a claim.)
