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American Modern Home Insurance Review

American Modern Home Insurance Review

American Modern Home Insurance Review

Established in 1965, American Modern is well known as among the top providers of specialty insurance and were one of the beginners in providing mobile home finance coverage. The company is licensed within each of the 50 states and boasts well over $1 million worth in policyholders. In 2008, they joined Munich Re, which is a global company, with a specialty in primary insurance and reinsurance sectors offering 50 locations and boasting top 100 on Forbes 500 Global list. 

From the start, the focus was on residential insurance particularly manufactured homes which, at that point, was an underserved market. They offer coverage in traditional homes, seasonal or vacation properties, rentals, vacant homes, and mobile properties. The company also provide classic car coverage in addition to recreational vehicle protection, coverage to financial institutions including banking/lending, and even pet insurance.

American Modern was given a Superior financial ranking from A.M. Best receiving an A+ showing that they hold strong financial practices and policyholders won’t need to be worried about the insurer’s ability to reimburse claims. They have been accredited with the Better Business Bureau since 1947 and is given an A+ rating with them as well.

Home Insurance Coverage

American Modern’s base home insurance policy only covers specifically named perils for your house and personal property which is known as HO-2 making it more limited than a standard homeowners plan. Also, the structure of your house and the contents are only reimbursed up to actual cash value (ACV), e.g. if you had something that you bought for $300 that was destroyed, but it had gone down in value to a lesser amount before it was destroyed, you would receive the lesser amount from American Modern. 

There is the option for open perils known, as HO-3, which means that you would be protected against everything except for exclusions, like floods or earthquakes.  Customers also have the choice to extend their plan to have replacement cost value (RCV). In that instance, you would get the actual amount you paid for your items prior to depreciation.

Specialty Home Coverage Options

American Modern provides various specialty home plans for properties that aren’t generally covered under traditional homeowners insurance because they may be susceptible to different risks from standard properties, e.g. a vacant home may sustain more damage due to being unoccupied.

  • Vacation home – There are policies made available for high-value vacation properties that are often upwards of the same amounts as main homes because of their value, as well as for a cottage or cabin which may generally carry a lower coverage level.
  • Manufactured/mobile home – American Modern offers plans for many different factory-built houses such as single/double/triple-wide mobile homes as well as one/two-floor manufactured houses. They could be owned, rentals, seasonal,  or vacant. 
  • Non-standard – These policies are for homes that are owned but generally aren’t qualified for a standard home insurance policy.  This happens for a number of reasons including location, prior claims, or possible issues with the home.
  • Landlord coverage – Provides coverage for landlords as well as extra coverage in the event of loss, including nonpayment of rent.
  • Vacant property –  American Modern’s vacant property protection covers a home owned which is unoccupied for a period of time for possible renovations, empty between rental tenants, or prior to selling.

Quotes and Claims

American Modern rates are not offered online. Their policies are sold primarily through licensed independent agents. Their rates would venture to be somewhat higher as they provide specialty insurance on homes that are not typically able to get standard homeowners insurance through traditional insurance carriers. 

Claims filing can be done in any way you can think of, via a toll-free phone line 800 375 2075 24/7, by mail, fax, or online. There will be an adjuster put on the claim immediately upon it being filed. The adjusters can potentially give a check right away on the inspection site.


It seems there were many folks not pleased with their experiences with American Modern with claims not being paid out for long periods of time, issues with premiums not being posted to client’s accounts. There is ongoing litigation from another client for what they deem as bad business with this company. Another policyholder described them as providing ‘shoddy business practice’. There was one positive person who indicated they had one claim and it was looked after very well, great company.

It seems as though a majority of policyholders feel that American Modern does not act on claims timely and when they do act on the claims, they don’t appear to want to pay out for the claims. When you are able to get an adjuster to inspect and get an estimate and then payment from them, it’s never an amount close to what the policyholder feel is reasonable. They appear to be a nightmare to deal with for a majority of the people who have filed online reviews.

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