Insurance for park & mobile homes

Whilst park homes or mobile homes are typically lived in as permanent residences, these types of properties are usually built in factories. Park home insurance, otherwise known as insurance for mobile homes, caters to these types of buildings. This type of cover is therefore different to normal home insurance policies. In addition, there are other differences to consider:

Location: Unlike regular homes, a park home is usually situated in a residential park or community area.

Use: Park homes may be lived in as a permanent residence, but in some cases may also be rented out to guests.

Construction: As park homes are created in a factory, they are made with very different materials to a regular home. They may depreciate in value over time as well.

Cover: There are lots of similar cover options when it comes to park home insurance, but they will be tailored to the specific needs of park home owners. The amounts covered are often less than regular home insurance, and there may be different needs for certain types of optional extras.

Premium: The insurance premium for your park home will be based on your demand and needs as a park home owner. This means that park home insurance premiums may be different to regular home insurance quotes.

Whether park home insurance is a requirement or not is mainly context dependent, and may depend on factors such as:

Local authority requirements: Residential park homes may be looked at differently to ones rented out to guests. For example, some park homes rented out to guests may be required to obtain a short let licence. These types of licences require buildings and liability insurance. Regional regulations frequently change and other parts of the UK may introduce similar requirements in the future. Speak to your local authority if you are not sure.

Finance: If you have obtained your park home via a loan, your provider may require insurance in place for the structural element of the property. Insurance may still be a good idea even if this is not needed, as you may otherwise be required to repair the property yourself whilst still making regular loan repayments.

Contractual agreements: Park homes based in specific areas dedicated to park homes may be required to have insurance in place as a mandatory requirement. Likewise, if you have someone that manages a park home rented to guests, many property management companies also require insurance in place.

Even if there is no specific obligation to take out insurance, you should consider your own demands and needs first. Properties are typically expensive to purchase and maintain, so consider how you would afford to put anything right if it was damaged or someone claimed against you.

Pikl’s rental insurance cover top up for paying guests is a fixed cost that varies depending on how many nights of cover you rent out the property a year. If you also want a quote for standard insurance in addition to rental cover, call us and we can consider providing a quote.

The cost of each standard park home insurance quote varies according to the details the person put in, the risk in the insurer’s eyes, and variables in the policyholder’s control such as the level of cover. Below are some of the factors considered by an insurer:

Location: Where your park home is situated may have a significant impact on your premium. Your insurer will take into account known local risk factors such as crime rates, flood history, and the cost of hiring local contractors.

Claim history: Like standard home insurance, your insurer will take into account any previous claims you have had.

Property type: Factors such as the make and model of your park home, the construction materials used, and any modifications will play a significant factor.

Cover: The cover you select will have some impact. A policyholder with contents only insurance may pay less than someone with contents & structural cover, for example. Sometimes increasing the excess can also lower your premium.

Insurer cost: Your insurer will factor in their own costs when calculating premiums. If these have risen or gone down then these may also play a factor.

Use and occupancy: Who uses the property may play a significant role. A property with guests may be assessed differently to one just for personal use, for example. Insurers often place limits on how many nights you can personally use your park home. Because of this, the occupancy rate may have some impact.

The above are just general guidelines. Each insurer may place different weight to factors that influence your premium and these can differ year on year. The most reliable way to get the best value quote for your needs is to get multiple quotes for comparable cover.

The insurance Pikl covers online is for issues that relate to having paying guests that stay at your property. It acts as a top up to your existing insurance, provided you still have a policy elsewhere that covers standard risks such as fire and storm damage. If you’d like a combined package that includes cover for these standard risks as well, please call and speak to a member of the Pikl team.