If you're a mobile home owner in Alabama, finding the best home insurance for it is an important step in protecting your investment. Mobile home insurance provides coverage for the structure of the mobile home, while also protecting your belongings and offering liability in the event of property damage or injury in your home.

Mobile home insurance policies tend to be the same straight across the board in terms of coverage, so it really comes down to finding the best price. We'll help you find the best, cheapest mobile home company for your needs.

In this article

How much does mobile home insurance cost in Alabama?

Insuring a manufactured or mobile home in Alabama can cost anywhere from a couple hundred dollars to a couple thousand per year. The final price of your mobile home policy depends on several variables, including:

  • Age of the home
  • The home's current ZIP code
  • The mobile home's estimated replacement cost
  • The coverage limits you choose
  • Your insurance claim history
  • Your deductible

Mobile home insurance providers use different risk weights on different factors. For example, the age of your home may be considered a higher risk by one insurer than another. For this reason, you should compare quotes from multiple mobile home providers. Looking at many quotes side by side for the coverage you need is the best way to get the cheapest premium.

The difference between mobile homes and manufactured homes

The key difference between mobile homes and manufactured homes is when they were produced. A mobile home is a fabricated home built before June 15, 1976. After that date, fabricated homes were regulated by the standards set forth by the U.S. Department of Housing and Urban Development.

Since they are regulated, mobile home insurance companies consider manufactured homes less of a risk than older mobile homes. As such, manufactured home insurance tends to cost less. Otherwise, it's not uncommon to see "mobile home" used as an umbrella term for both types.

What are the best mobile home insurance companies in Alabama?

There are excellent insurers that specialize in insuring fabricated homes, such as Foremost and American Modern. However, bigger name home insurance providers such as Allstate also provide excellent coverage. Here's how they break down:

Foremost: Best mobile home insurance

Specializing in mobile home insurance since 1952, Foremost offers the best coverage package for fabricated homes. This includes:

  • Agreed loss settlement: If your home is destroyed by a covered peril, you're paid out for the full value of it, minus your policy deductible.
  • Optional replacement cost: Foremost sells optional coverage that replaces your damaged personal property at replacement value rather than depreciated value.

Foremost also has coverage options for mobile homes not frequently seen by other insurers. These include coverage for:

  • Earthquakes
  • Transportation of the home
  • Business liability

Foremost is backed by Farmers Insurance, giving them incredible financial backing for a small provider. Foremost also partners with big names such as USAA and AARP.

American Modern: Best for older mobile homes

American Modern is the top insurance provider for mobile homes built before the HUD regulations went into place. A lot of insurers are wary of insuring homes built before 1976, making American Modern the go-to choice for your older mobile home coverage needs.

Because of the higher risk value of pre-1976 mobile homes, a policy through American Modern can cost more than other mobile home insurance. Still, this is much better than going without coverage.

Allstate: Best discounts

While not offering specialized coverage like Foremost or American Modern, Allstate offers the coverages and discounts in its standard homeowners insurance to manufactured and mobile homeowners. Allstate's discount offerings are wide, allowing you to save a lot on your annual premium. Its discounts include:

  • Welcome and loyalty discount: Save 10% on your mobile home insurance by switching to Allstate. You have this discount as long as you are with Allstate.
  • Multipolicy discount: Bundling your mobile home insurance policy with an auto or life insurance policy through Allstate can save up to 25% on both policies.
  • Easy pay discount: Save 5% on your policy by setting up automatic payment.
  • Early signing discount: Save up to 10% on your premium by getting a new mobile home insurance policy with Allstate at least seven days before expiration of your current policy.

Do I need mobile home insurance in Alabama?

Alabama has no laws requiring mobile home insurance. However, if you financed your home, lenders usually require you to carry it. It's usually a requirement of mobile home communities as well.

Even if not required, having a mobile home insurance policy is an excellent investment for the price. If you have to replace your mobile home after it's destroyed, paying for a new one could be a financial crisis, if not outright impossible. Mobile home insurance offers good peace of mind and pocketbook protection against such problems.

What does mobile home insurance cover in Alabama?

A standard mobile home insurance policy covers a variety of dwelling, personal property and liability issues. These include:

Dwelling and other structures

The dwelling coverage portion of your mobile home insurance policy covers the structure of the home. Attached structures such as a deck or carport are also covered. Some insurers have separate limits for their dwelling and other structures coverage, while others cover both under one limit.

A standard mobile home insurance policy covers the structure at replacement cost value.This means in the event of a total loss, the mobile home would be replaced with a new one of the same value as before the loss.

There are also, however, companies that offer structure coverage at actual cash value. This means that your loss would be paid out at the current, depreciated value of the home. Actual cash value replacements are cheaper, but they also offer less coverage.

Personal property

The personal property coverage portion of your policy covers the repair or replacement of your belongings after damage or destruction by a covered peril. Belongings that are covered include:

  • Clothing
  • Furniture
  • Electronics
  • Jewelry and other valuables (at a lower limit)

Belongings are covered for actual cash value, meaning they'll be replaced at the depreciated value. Many companies offering mobile home insurance do offer replacement cost options for personal property coverage, but expect it to cost more.

Personal liability and medical payments

Personal liability coverage takes care of injuries and property damage you and other household members cause to others. Medical payments coverage pays for guests injured in your mobile home.

Default limits for liability coverage are $100,000, with $1,000 for medical payments. While this may seem adequate, a long legal battle or extended hospital stay and treatments can max those limits out quickly. Consider raising the limits of both coverage types as much as you can afford to in order to avoid paying out of pocket.

Mobile home insurance doesn't include coverage for natural disasters such as flood, hurricane or earthquake, though these insurance options can be purchased separately.


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