Our top Frequently Asked Questions as a land lease insurance specialist

Have you ever looked at an insurer’s FAQ page and wished for just a little bit more info? Say no more!

For those who've chosen to live in land lease communities, manufactured home estates and lifestyle resorts coming to grips with the ins and outs of insurance can sometimes seem a bit daunting. Especially when you want to get on top of things but there’s not quite enough information to get you there.

Whether you've recently retired, are a long-term land leaser or a proud cabin/caravan owner, it's important to get your head around the details of home and content insurance. To give you peace of mind we're going to expand on our most frequently – or FAQs – from the MHIA Insurance FAQ page.

How do I pay or renew my policy?

MHIA wants to make paying and renewing your land lease home insurance a simple and straightforward process. That’s why we offer three options:

• Online – All you need to do is grab your policy reference number, click here and you’re done. Available 24/7
• Bpay – if you prefer keeping a closer eye on things, Bpay is for you. Just email us for your Bpay details and it’s sorted. Also available 24/7.
• Phone – call us on 1800 67 67 00 Monday to Friday and we’ll help you get your policy paid. Only available standard business hours of 8.30am to 5.30pm (except on public holidays) To make sure your home and contents insurance is paid on time, set up reminders or auto-renew options so you’re always insured. You can also set up a Direct Debit if you’re paying monthly!

Why has my premium increased?

As interest rates climb for the first time in over a decade and inflation continues to soar, most people are really starting to feel the pinch. So when you open your home insurance renewal email and your premium has increased – especially if you haven’t made a claim during your previous insurance period – you’re likely wondering why. Many factors can influence premium increases including:

• Individual claim histories
• External factors such as inflation or regulatory changes
• Regional risk factors such as increased natural disasters in your area.
• Higher rebuild or repair costs in the industry.
• An increase in claims made within your community or similar communities.
• An increase in the overall number of claims in the insurance sector - leading to an overall increase.

It’s important to note that MHIA is not the only insurer impacted by the above factors, and that all insurance providers must contend with exactly the same issues.

If you have any further questions or concerns, please call or email us to chat. We can run through your policy/s to ensure you’ve got the right cover for your particular situation and needs.

Why has my building sum insured increased?

Home insurance for land lease properties is based on what it would cost to rebuild or repair your home after an insurable event. Known as the 'sum insured', this number can increase over time due to inflation, rising material costs and labour charges. In simple terms, you want to ensure your home is insured correctly to cover the costs to repair or rebuild, rather than having a nasty surprise waiting for you.

Regular assessments are crucial to make sure your sum insured aligns with current rebuilding costs, so you're not underinsured in the event of a claim.

What is – and isn’t – considered hail damage?

Hail damage in the context of property insurance generally refers to physical damage caused directly by hailstones that compromises the integrity of a roof. It does not mean superficial or cosmetic damage like small indentations which can occur over time and even due to foot fall on the roof.

As the majority of homes within Australian land lease communities have Colorbond roofs, which are built to withstand hail and impact damage with minimal superficial harm, major damage should be obvious and easy to observe.

Hail damage can include dented awnings, holes in roof sheets, broken skylights and missing roof sheets. Essentially, this would mean that the structural integrity of your roof has been compromised and would need replacing.

Hail damage is not spatter marks, cosmetic roof sheet impressions and cosmetic roof hip impressions. This would not constitute replacement, as this is superficial and the integrity of your roof is intact.

Please refer to our Hail Claims page for photos.

When in doubt, take photos immediately after a hailstorm and contact us for clarification.

Why do you charge a separate hail excess?

MHIA charges a separate hail excess due to the specific risks associated with hail events. This includes the fact that, as noted above, the majority of Australian land lease community homes have Colorbond roofs.

Given the increased frequency of hail storms in recent years, and the potential widespread damage a hailstorm can inflict on a land lease community, MHIA chooses to offset this risk with a dedicated excess. This helps us balance the insurance pool, thereby keeping overall premiums lower for all policyholders.

How can I find out the rebuild cost of my home?

Determining the rebuild cost of your land lease community home is vital for accurate insurance coverage. We recommend speaking with the builder of your home and, if that’s not possible, perhaps the community manager can help you.

Otherwise, you may want to think about hiring a professional valuer or builder familiar with park homes or cabins to provide an estimate.

And when determining your rebuild costs, don’t forget to allow for the removal of debris in the event of a total loss.

Making sure you’re correctly insured – especially during the Australian summer storm season – is essential for everyone living in a land lease community. By staying informed, regularly reassessing your coverage and really understanding your home and contents insurance policy, you’re doing everything you can to keep your beloved home protected. No matter what life, or Mother Nature, throws your way.