If you are financing any portion of your new manufactured, modular or mobile home, your lender will require you to have and maintain Home Owners Insurance as part of the loan agreement.
If you didn’t know, Home Owners Insurance is pretty straightforward: It provides financial protection against disasters. A standard policy insures the home itself and the things you keep in it.
Homeowners insurance is typically a package policy. That is, the policy covers both damage to your property and your liability or legal responsibility for any injuries and property damage you or members of your family cause to other people. This often includes damage caused by household pets.
Damage caused by most disasters is covered – but – there are exceptions. Examples of exceptions are those damages caused by floods, earthquakes and poor maintenance. In most cases, you will need to obtain flood and/or earthquake insurance as separate, standalone policies, if you seek that sort of protection.
Please note: Common household and property maintenance-related problems are ALWAYS the homeowners’ responsibility and are not covered by your Homeowners Insurance.
How do you get homeowners insurance?
Home Owners Insurance is fairly easy to obtain. It is similar to getting insurance for your motor vehicle. If you have an established relationship with an independent insurance agent, we suggest speaking with them first. They will almost certainly be able to rapidly and affordably assist you.
If you do not have an agent, home owners insurance on manufactured, modular and mobile homes is readily available online from most major, well-known insurance companies.
Below is a great document that will help you better understand home owners insurance. While it is generated by the State of North Carolina, most all its core concepts perfectly apply in the State of Alabama.