Mobile homeowners insurance policies available in North Carolina may be used to provide coverage for your manufactured home, personal property and personal liability. The two forms of mobile homeowners policies offered in North Carolina are the MH (C) and MH (F) form. The forms are similar; however, differences in perils covered and coverage limitations exist. Read your policy and understand what coverages, exclusions and limitations apply.
These coverages can help pay for damage to your home, other structures and personal property caused by a covered “peril”. A peril is an event that causes damage to property; two examples are fire and theft.
A mobile homeowners insurance policy can be either a “named peril” or a “comprehensive” policy. Under a “named peril” policy, perils insured against are specifically named in the policy contract. Comprehensive coverage may be purchased to insure your dwelling and other structures on an “open perils” basis. This “open perils” basis provides coverage to your home or other structures against any peril causing direct physical damage unless specifically excluded by the policy.
Physical damage losses are settled on an actual cash value basis (i.e. replacement cost less depreciation), unless replacement cost coverage is purchased.
Mobile homeowners policies provide property coverage protecting your home and attached structures if damaged by certain perils. It also covers all the original parts, equipment and accessories furnished and installed by the manufacturer or dealer.
This coverage provides protection to other structures on the residence premises (e.g. storage buildings, garages, etc).
Personal Property/Personal Effects
This coverage provides protection for the contents of your home and other personal belongings owned by you or others subject to the policy exclusions. Personal property coverage is limited on certain types of property that are especially susceptible to loss (e.g. art, jewelry, furs, and stamp or coin collections). However, additional amounts of insurance may be purchased. You may want to consider scheduling these items separately. Ask your agent for specifics.
Loss of Use
Under the MH (F) form, if a covered loss makes the residence premises uninhabitable, this coverage will cover any necessary increase in living expenses incurred by you (up to a limit stated on the declarations page of your policy) so that your household can maintain its normal standard of living. Also, if a civil authority prohibits you from using the residence premises as a result of direct damage to neighboring premises by a covered peril you may be eligible for Loss of Use coverage.
The MH (C) form offers $10 per day up to a maximum of 60 days reasonable additional living expenses you pay when you cannot live in your home because it is damaged or destroyed by a covered loss.
Coverage When Moving Your Home
For an additional premium you may purchase insurance protection for your home while it is being moved. These coverages must be purchased prior to the transportation of your home. Ask your agent for specifics.
Mobile homeowners insurance can provide coverage for accidents, in which you become legally liable, subject to all policy terms and conditions. The policies can also provide coverage for medical payments to others when accidentally injured.
This section of the mobile homeowners policy will provide bodily injury and property damage coverage when you or residents of your household are legally responsible for injury to others and/ or damages to their property. This coverage will provide a defense and will pay damages as the insurance company deems appropriate. There are some exceptions. The liability coverage will not protect you in all situations, such as an intentional act. All of the exclusions and specific language can be found in your policy.
Medical Payments to Others
This coverage pays for reasonable and necessary medical expenses for persons, other than resident members of your home, who are accidentally injured on your property. In some limited circumstances, the medical payments portion of your manufactured-homeowners policy may also pay if you are involved in the injury of another person away from your home.
Medical payments coverage does not apply to your injuries or injuries of those that reside in your household. Business activities are also excluded. All of the exclusions and specific language can be found in your policy. Check with your agent or insurance company to discuss the specific limit of medical payments coverage desired.
The Consumer Services Division of the Department of Insurance is here to help.
North Carolina Department of Insurance
325 N. Salisbury Street
Raleigh, NC 27603