As you consider mobile home park investing, you find yourself wondering about mobile home park insurance. Do you need it? What should you know about it? Why is it important? How do you find the right insurance package?
Everything you need to know about mobile home park insurance
In this article, you’ll learn some important things to know on the topic of mobile home park insurance. We hope this will help you get a better grasp on this crucial aspect of mobile home park management. It’s imperative that you’re better equipped to make informed decisions. The ability to make the best choices for your park’s future benefit and protection is at your disposal when you stay informed.
Why you need mobile home park insurance
In the long run, you need insurance to keep yourself and your park protected in the case of a lawsuit or damages that require mending. To be sure, insurance is important.
Mobile home park insurance is unique
The landlord takes responsibility to insure the community areas, utility lines, and even the landscaping, in the situation of a mobile home park. Insurance by the park owner must cover whatever does not belong to the tenant.
Due to the unique situations that a mobile home park presents in its very existence, most insurance companies do not deal with mobile home parks. However, there are companies out there that do specialize in insuring a mobile home park. In fact, they create packages that deal with the nuances involved with insuring a mobile home park.
Insure what the park owns
As stated above, being the park landlord you must insure whatever is the property of the park. This can include community buildings, the office, utility lines, roads, fences, and appliances. If your park owns any homes, they also fall under your insurance responsibility. Landscaping and even plumbing mishaps may fall under your jurisdiction. Insurance for those things or scenarios may be in order too.
For the best advice on your particular park situation, speak with a mobile home park insurance agent. They will be able to assess your business needs and help you find the best insurance package to cover your park. Don’t be leary of asking questions and learning all you can from your agent.
Some of the different policies available to your park
There are several different policies that you may wish to consider for your mobile home park insurance setup.
Property coverage for your buildings
In the case of property damages due to natural catastrophes, property coverage will take care of your park. Additionally, reimbursement covers any loss of income due to storm damages, with the right property coverage policy.
Slip and fall liability coverage
Generally speaking, in the event that an injury takes place in your park or someone’s property is damaged, this policy will protect your park from lawsuits.
Open lot coverage
This type of insurance policy will protect new or used units that are vacant and in possession of the park. If they’re in the process of renovation or sitting uninhabited for sale, this coverage will deal with the many risks that come as result. Vandalization or fires are a real threat to homes that are vacant.
In many states, you’ll find that this insurance policy is a requirement. In the unfortunate event that a park employee is injured on the job, you’ll be protected from a lawsuit. And your employee will be provided with proper medical care and paid time off, as required.
Seek out an independent agent
For the best advice unique to your situation, seek out an independent agent. An independent agent works for you rather than one insurance company. They will look out for your best interest and search for the ideal package to suit your mobile home park’s needs.
Mobile home park insurance doesn’t have to be intimidating with the right help on your side.
Remember, what belongs to the park must be insured by the park. If a home is owned by a tenant rather than rented, it falls on the responsibility of the tenant to get the actual home insured.
There are different policies you may want to sign up for to protect yourself, your park, and others in the event of a bodily injury.
Time to do more research …
To be clear, we’ve merely laid out the bare basics to mobile home park insurance. We hope this gives you a better understanding of what you’ll need for your park.
Above we mentioned the risks involved in having vacant mobile home units in your park. Check out our tips for finding tenants for those lots.