Selling Manufactured Home Insurance: Explaining Rates
Posted on: July 9, 2015 by Aegis General
For many producers, selling manufactured home insurance can be a challenge. As we mentioned in a blog post earlier this year, these structures present a unique challenge for insurers as they are often more exposed to loss than are brick-and-mortar homes. As such, although manufactured, mobile and modular homes are not as expensive for homeowners to buy, they may find that their insurance policies are equivalent to that of a traditional home. So what can producers do to explain the benefits of their Manufactured Home Insurance Program?
When it comes to selling any type of product, customers want to know not only the features and benefits, but also what they are getting for their money. This is true whether it’s an insurance policy or something as small as an item of clothing; explaining how insurance rates are determined helps consumers make an informed decision. Listed below are some factors that are important to discuss with your clients.
Geographic Areas will Affect Rates: Specifically, whether or not there are higher occurrences of severe storms or other natural disasters such as wildfires in your geographic region..
Home Value Plays a Role: This does not differ much from site-built homes; the higher the value of a structure, the higher the insurance rates. The age of your home also plays a role in determining rates, as an older manufactured home can be more susceptible to storm damage.
Coverage Needs Will Cause Rates to Vary: Liability coverage financially protects the homeowner and her assets in the event a third party sustains losses or injuries in the insured’s home or on their property. Personal property insurance, also referred to as “contents coverage” in many cases, provides monetary compensation for any of the homeowners’ items that are stolen, lost, or damaged by a covered peril.
Deductibles Affect Premiums: Just like any other type of insurance policy, the lower the deductible the homeowner chooses, the higher the premium rate, and vice-versa.
As expressed above, manufactured home insurance rates can vary widely based on numerous factors. Explaining this to your clients can help them better understand the process and will help them obtain a reasonable and fair rate.
Aegis General Insurance Agency is one of the leading independent insurance providers in all 50 states that specialize in writing insurance for manufactured homes, including mobile and modular units, and other specialty risks. For nearly 40 years Aegis General has been working with agents to provide quality products, superior claims service and risk management guidance at affordable rates.
We invite you to learn more about our insurance programs and about becoming a producer with Aegis General Insurance Agency. We can help you expand your footprint in the specialty market segments we serve. Contact us at (855) 399-0966 or submit the Contact Us form at the top of this page.