Understanding mobile home insurance

If you live in a mobile home, you'll need specific mobile home insurance rather than a traditional homeowners insurance policy. But what exactly is mobile home insurance, and how is it different?

Here is a quick guide to the important facts about mobile home insurance:

Is mobile home insurance really necessary?

Mobile home insurance is required by mortgage companies for loan approval. So, if you're trying to get a mortgage, it's in your best interest to research your options for mobile home insurance companies and find a good fit. However, it may not be mandatory otherwise.

What does mobile home insurance cover?

Mobile home insurance policies have the same components as traditional homeowners insurance: dwelling, other structures, personal property and liability coverage.

What's not covered?

Both mobile home insurance and manufactured home insurance policies cover a list of events known as perils. While there's a long list of perils included, your mobile or manufactured home might need additional policies for certain weather or natural disasters. Generally, these are the events requiring supplemental or separate coverage:

• Flooding
• Earthquakes
• Insect or animal infestation

To find out what a covered peril is, check with your insurance company. Often, you can get an additional policy for one of the above events added onto your regular policy for a discounted rate.

While not strictly required, mobile home insurance is one of the best ways to protect your property and assets. Consult an insurance provider to learn your best options for financial coverage.