Florida regulators have extended their supervision of American Mobile Insurance Exchange for another 120 days, marking the sixth extension in two years and signaling that the insurer’s runoff process is taking longer than expected.
The move comes as the state’s mobile and manufactured home insurance market remains under strain.
Nearly two years after the St. Petersburg-based carrier began cancelling policies, coverage is still difficult to secure and increasingly expensive, according to agents and market participants.
John Gardner, principal at Lee County Insurance, said options depend heavily on the age of the property. Newer units, typically built after 1994, still have some availability. Older homes do not.
Pricing reflects that imbalance. In parts of southwest Florida, average annual premiums for mobile homes now sit around $5,000, in some cases exceeding costs for traditional single-family homes in similar areas.
Gardner said he recently saw a seven-year-old mobile home insured at a higher premium than a newly built unit with stronger wind resistance.
Structural complexity is adding another layer of friction. Many newer mobile homes have been elevated to meet flood requirements or allow parking underneath.
Some insurers are still uncertain how to underwrite these elevated platforms, which can cost thousands of dollars to build. One carrier agreed to provide coverage only if the home is located at least four miles inland.
For older homes, the economics remain challenging. One Florida carrier executive said the numbers simply do not work, particularly when catastrophe models continue to show high loss potential.
Unlike other lines, reinsurance costs for mobile home exposure have not eased, insurers noted.
American Mobile entered regulatory supervision after announcing in March 2024 that it would cancel more than 1,100 policies as part of its withdrawal from the Florida market due to financial pressures.
Many of those policies have since been transferred to American Traditions Insurance, based in Pinellas Park.
State data show American Traditions’ mobile home policies have grown modestly, rising from about 61,800 in early 2024 to more than 64,800 this year.
American Mobile held roughly 8,600 policies at the start of 2024, though current figures have not been disclosed.
For homeowners unable to find private coverage, the fallback option remains Citizens Property Insurance Corporation. But that route is becoming more complex as well.
By January 2027, most Citizens policyholders will be required to carry flood insurance.
Flood cover is expensive. In parts of Fort Myers and Lee County, policies can cost up to $11,000 annually for a mobile home, roughly double the cost of wind coverage. Gardner said that requirement may push many owners to drop insurance altogether.
He estimates more than 30% of Citizens mobile home policyholders could go uninsured as a result. Early signs may already be visible.
Citizens’ mobile home policy count has fallen from 89,284 a year ago to about 76,745 this month, mirroring a broader reduction in its overall book.
The pressure is feeding through to housing decisions. Gardner said some homeowners are leaving mobile units altogether, sometimes transferring ownership to park operators when they cannot sell.
The situation highlights a widening gap in the market, particularly for older properties and flood coverage. Agents say there is growing need for both private insurance solutions for ageing units and a more developed private flood insurance market tailored to mobile homes.
