How does New For Old Cover work?

by Hazel Tynan


Posted on July 31, 2018


public liability mobile home insurance

When a claim arises on an insurance policy, generally the insurer will only pay out what the insured item/property costs to replace at the time of loss, provided of course you have an adequate level of cover in place. In other words they deduct for depreciation, wear and tear.

For our Mobile Home policies, New for Old cover is provided if the Mobile Home is 5 years old or less. This means that a claim would pay out the replacement cost of the mobile home without deduction for depreciation, wear and tear.

For example: A Mobile is 3 years old and was purchased for and insured for €17,000. If the Mobile Home is completely destroyed in a fire, the insurer will pay out the full amount of €17,000. This is of course provided the level of cover is adequate and the claim is deemed valid.

After the first 5 years of the Mobile Homes lifecycle, the policy will revert to standard cover whereby the current value of the mobile will be paid out, taking depreciation into account.

NB. Always consult your policy document and schedule for exact policy terms and conditions.


Hazel Tynan

HI, I'm Hazel, Home / Mobile Home Insurance Executive here at Kidd Insurances Insurance. If you have any question reagrding mobile home insurance policy, please call me on 01 207 4000 or send me an email hazeltynan@kiddinsurances.ie.

Best Mobile Home Insurance Advisor - Hazel