We know that paying for insurance feels like a big pain in the you-know-what. But the reality of it is, you need it. Life is unpredictable, and you don’t want to find yourself on your own if something happens to your home.
Today, most major insurers will cover manufactured homes, and if you are financing your home, your lender will require insurance. Even if you pay cash for your home, we strongly recommend you get insurance to protect your investment, and all of your and your family’s belongings.
There are three components of homeowners insurance that are important if you want to make sure you have complete coverage.
Liability Coverage: This covers you in the event that you cause damage to another person’s property or someone comes onto your property and is injured.
Property Damage: This covers your home If your property (home) gets significantly damaged and requires repairs.
Personal Property: This rider can cover and reimburse you for personal belongings impacted by a covered loss (i.e. bad weather, theft).
Be sure to have your agent go through your policy with you and explain your coverage. Some companies cover everything and some have exclusions. You wouldn’t want to have your pipes freeze and then find out from your insurance company that they don’t cover damages from frozen pipes.
To make sure you know exactly what you’re signing up for, make sure you know the difference between actual cash value (ACV) and replacement cost. With ACV policies, the claim would pay the actual cash value minus depreciation. With replacement cost, the claim will pay the full replacement cost without depreciation, even if it is higher than stated limits. By understanding coverage types you’ll be better prepared to shop around and get the coverage you need.
Have questions about insurance for your manufactured home? Contact us today, we look forward to hearing from you!