park home insurance Compare quotes to find the best insurance policy for you
UK park home insurance is a specialised type of insurance designed for residential mobile homes, also known as park homes. It differs from standard home insurance because park homes are built differently and often have different ownership structures, like renting the pitch on which the home sits. Park home insurance covers the unique risks associated with these homes, including damage from fire, theft, weather, and more.
Here’s a more detailed breakdown:
Unique Coverage:
Park home policies are tailored to the specific needs of park home owners, recognising the unique construction and ownership arrangements.
What it Covers:
Standard coverage usually includes fire, theft, vandalism, water damage, storm damage, and subsidence.
“New for Old” Cover:
Many policies offer “New for Old” cover, which means that in the event of a covered loss, the insurer will replace the park home with a new model of the same year, even if it’s an older park home.
Contents Insurance:
Some policies also include contents cover, which protects your belongings inside the park home.
Alternative Accommodation:
Many policies include alternative accommodation cover if the park home becomes uninhabitable due to a covered event.
Why it’s Needed:
While not legally required, many park home sites require insurance as part of the agreement, and it’s generally a wise decision to protect your investment.
Considerations:
Factors like the park home’s age, location, and features can influence insurance costs and coverage
Park home insurance cover in the UK: a comprehensive guide
Park homes, also referred to as residential mobile homes, represent a distinctive type of property requiring specialized insurance coverage. Unlike traditional brick-and-mortar homes, park homes are often manufactured and sited on land rented from a park owner, and their construction methods and materials differ, which makes them susceptible to different risks and potentially higher vulnerability to issues like weather damage or subsidence. This guide delves into the essential aspects of park home insurance in the UK, outlining the types of cover available, key considerations, and how to find appropriate protection for your investment.
Understanding the Need for Park Home Insurance
While obtaining park home insurance isn’t a legal obligation, it’s highly advisable for homeowners. Many park site owners also stipulate the requirement for homeowners to possess adequate insurance as part of their pitch agreements. Without a dedicated park home insurance policy, you could face substantial financial losses from damage, theft, or liability claims, potentially leaving you responsible for replacement or extensive repairs.
Key elements of park home insurance policies
Park home insurance policies are typically tailored to address the unique characteristics and potential risks associated with these properties. Standard components often include:
Buildings cover: This protects the structure of your park home from events such as fire, storm, flood, impact damage from vehicles or trees, theft, vandalism, subsidence, and escape of water or oil from fixed tanks or pipes. Some policies offer “new for old” cover, meaning if the park home is deemed beyond repair due to an insured event, it will be replaced with a brand-new model of equivalent make and specification, usually within a certain age limit (often up to 40 years old, although some policies offer this indefinitely). The cover limits can vary significantly, sometimes ranging up to £600,000.
Contents insurance: This protects the belongings within your park home against perils like theft, fire, and accidental damage. Limits for contents cover can also vary, typically ranging up to £60,000 or £75,000, and may include specific limits for valuables or items like garden furniture.
Public liability insurance: This is crucial cover, protecting you financially in case a third party is injured or their property is damaged while on your premises, leading to a compensation claim against you. Policies often provide a minimum coverage of £5 million.
In the unfortunate event that your park home becomes uninhabitable due to an insured loss, this covers the costs of temporary accommodation, such as a hotel or rented property. This is a particularly important feature for those living in their park homes as their primary residence.
Site clearance and re-siting: Should your park home be destroyed beyond repair due to an insured event, this aspect of the cover can contribute towards the expenses of clearing the site and replacing or re-siting a new home.
Optional extensions and additional considerations
Beyond the standard components, you might consider adding optional extensions to further enhance your protection:
Accidental damage cover: This can be added to both buildings and contents insurance to cover damage caused accidentally by you or visitors.
Valuables and personal possessions cover (away from home): This extends cover to valuable items you take outside your park home, such as jewellery or cameras.
Bicycle cover (away from home): Specific cover for bicycles when they are away from your park home.
Mobility scooter cover: Some policies offer specific cover for mobility scooters, including liability cover.
Home emergency cover: This provides assistance for unexpected emergencies within your park home, such as boiler breakdowns or plumbing issues, ensuring qualified contractors are available for repairs.
Legal expenses cover: This can assist with legal costs, including those arising from disputes with park operators, a common concern for park home owners.
Money and credit card cover (away from home): Protects against loss or theft of money or credit cards when you’re away from your park home.
Increased contents cover for special events: Some policies offer a temporary increase in contents cover around religious festivals or special events.
What’s typically excluded
It’s crucial to understand what is not typically covered by park home insurance policies. Common exclusions include:
General wear and tear: Damage caused by the natural aging or deterioration of the property.
Damage caused by pets: Accidental damage to buildings and contents caused by pets.
Electrical or mechanical breakdown: Loss or damage resulting from the failure of electrical or mechanical systems.
Unoccupied periods: Leaving your park home unoccupied for extended periods (e.g., more than 30 consecutive days) without informing your insurer may affect your coverage.
Factors affecting premium costs
The cost of park home insurance can vary considerably based on several factors:
Park home value, size, and age: Higher value, larger, or older homes typically incur higher premiums.
Location: Areas with higher crime rates or increased risks of flooding or storm damage may result in higher premiums.
Security measures: Installing security features like burglar alarms and smoke detectors may help reduce your premiums.
Claims history: A history of making claims can influence your premium costs.
Chosen level of cover and optional extras: Selecting higher levels of cover or including optional extras will naturally increase the premium.
Finding the right park home insurance policy
Comparing park home insurance quotes from specialist providers is essential to find the right level of coverage at a competitive price. Here’s how to approach it:
Gather comprehensive information: Have all relevant details about your park home readily available, including its value, location, age, construction type, and security features.
Utilize comparison websites or specialist brokers: These resources allow you to compare quotes from various insurers or access bespoke services that cater to your specific requirements.
Review the coverage details: Pay close attention to what each policy covers, including the sum insured for buildings and contents, liability limits, and any optional extras.
Check policy exclusions: Ensure you understand any limitations or exclusions that might apply.
Consider value beyond price: While affordability is important, choose a policy that offers sufficient protection for your park home and belongings, rather than simply opting for the cheapest available.
Read customer reviews: Investigate the insurer’s reputation for customer service and claims handling.
Important recent regulatory changes
In January 2022, new rules introduced by the Financial Conduct Authority (FCA) came into effect to protect park home owners. These rules mandate that insurance providers offer existing customers renewing their policies a price no higher than what a new customer would receive. This emphasizes the importance of assessing the value, service, and protection offered by the policy, not solely the premium. It also means that existing customers may find it worthwhile to compare offers from different providers or review their current policy with their existing insurer at renewal time.
In conclusion
Securing appropriate park home insurance is a vital step for any park homeowner in the UK. By understanding the unique needs and risks associated with these properties and carefully comparing the various cover options and policy terms available from specialist insurers, you can find a policy that provides peace of mind and safeguards your valuable investment.
To provide the best experiences, we use technologies like cookies to store and/or access device information. Consenting to these technologies will allow us to process data such as browsing behavior or unique IDs on this site. Not consenting or withdrawing consent, may adversely affect certain features and functions.
Functional
Always active
The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
Preferences
The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
Statistics
The technical storage or access that is used exclusively for statistical purposes.The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
Marketing
The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
