Whether designed for manufactured homes or trailer homes, mobile home parks are residential areas that provide land and utility hook-ups for mobile home owners who rent the space from them. It is a growing industry, particularly as manufactured homes have started offering more state-of-the art options and because mobile homes provide an affordable housing option for those who might otherwise find homeownership unattainable. If own a mobile home park, you will want to be sure to protect the investment you have made in your business by getting a suitable commercial insurance policy through a Trusted Choice® Independent Insurance Agent.
2015 Land Leasing Industry Statistics From IBISWorld
- There are approximately 70,023 land leasing businesses operating in the United States.
- These businesses employ more than 95,000 people.
- The land leasing industry is responsible for about $13 billion in revenue each year.
What Are Insurance Concerns for Mobile Home Park Owners?
Because mobile home park owners rent land to owners of manufactured homes, mobile homes or traditional trailers, their insurance needs are similar to those of a landlord. The homeowners must insure their own homes and belongings, but the mobile home park owner is responsible for covering common areas, utility service lines and even the landscaping as it is part of what makes the mobile home park a desirable place to live.
This puts mobile home owners in a rather unique position when it comes to insurance coverage. Most insurance companies will not want to take on the responsibilities of insuring a mobile home park, but there are companies that specialize in exactly this sort of coverage. They put together packages that address the exposures and needs of mobile home park owners and even assist owners with risk management and safety protocols.
An independent agent can help you find policies from companies that are willing to write them and can then help you compare the different coverage options offered by each so that you can decide which policy is the most cost-effective and useful for your business.
Insure Your Mobile Home Park’s Business Property
As the owner of a mobile home park, you are not responsible for covering the homes or the contents of the homes owned by those who lease from you. You do, however, have property that you will want to insure. This includes the following:
- Central office building, including its contents
- Underground utility lines and utility pedestals
- Electrical distribution equipment
- Roads and walkways
- Fences and signs
- Appliances, such as washers and dryers, if your mobile home park includes a laundry area
- Homes on the property if they are owned and leased out by your business
Additionally, you can be held responsible for damage caused by backup of sewage and drains, so you may need to purchase insurance against this as well.
Most standard commercial insurance policies are not equipped to deal with the unique property coverage needs of mobile home park owners. However, insurance companies that specialize in this coverage are likely to provide coverage options for all the property listed above. Some even include coverage for trees, bushes and other landscaping features that are integral to your mobile home park. Your independent insurance agent can help you find these types of policies.
Protect Your Business Interests with the Right Liability Insurance
As the owner of a mobile home park, you face some unique and interesting liability risks. Because of the large number of people that spend time on your premises, whether they are residents or guests, you have an increased risk of a liability lawsuit related to injuries in common areas. This risk is further increased if your park includes amenities such as a swimming pool or playground. Furthermore, if you permit residents to have dogs, particularly those deemed to be dangerous breeds, you can be named in a lawsuit if a resident is bitten by a neighbor’s dog.
Fortunately, your policy’s commercial general liability insurance coverage includes premises liability coverage. This covers court costs, legal fees, medical treatment and financial damages pertaining to injuries or property damage that occurs on your premises due to negligence in upkeep or failure to maintain a safe environment.
You can also protect your mobile home park business from liability lawsuits with these coverages:
- Auto liability insurance: This provides liability coverage for any company-owned vehicles you may have. A for-hire or nonowned auto option also protects you from liability if your employees use their own personal vehicles to do work-related tasks.
- Workers' compensation insurance: Required in many states, this protects your business from a potential lawsuit if an employee is injured while on the job. This coverage provides injured employees with covered medical treatment and paid time off if needed.
- Employee practices liability insurance: This covers your business if a former or current employee sues for perceived discrimination, harassment, wrongful termination or any other illegal business practice.
- Directors & officers liability insurance: This protects your business if it is sued for alleged discriminatory practices, such as discriminating against homeowners due to race, religion, sexual orientation or disabilities. A policy made specifically for mobile park owners may have this coverage built into its standard package.
Talk to your insurance agent about the right types of liability insurance coverage for your business as well as about risk management and safety protocols you can implement to further protect your mobile home park from potential litigation.
Get Help Finding an Ideal Mobile Home Owners Insurance Policy
As a mobile home park owner, when you purchase your business insurance policy, you will want to look at several different coverage options. This is why it is to your benefit to work with an independent agent in the Trusted Choice network. These agents can help you find insurance companies that offer coverage specifically suited to mobile home park owners and can help you understand and compare your policy options. Find a Trusted Choice agent near you with whom you can discuss your coverage needs. With your agent’s help, you can soon be comparing quotes on mobile home owners insurance coverage that is designed specifically for your particular business.