If the water leak in a mobile home exceeds the value for repairs can the insurance company total the mobile home? What is required?

That is a great question. Your policy has limits and if the repair cost is above those limits they just stop paying anything higher but they can not just say your home is totaled like a car. A friend of mind had a toilet supply line leak while on vacation. He ran 350,000 gallons of water through that one like pipe causing over $350,000 damage to a home he bought for $300,000 some years earlier. The insurance company paid to totally replace and repair everything up to his policy limits. They did not pay his $3000 water bill.