Like most natural disasters, earthquakes can be insured against. You can buy earthquake insurance nationwide, but it is particularly important to have it in California â€“ which is the second-most earthquake prone state in the US (the first is Alaska).
Unfortunately, earthquake insurance is a property insurance that is not included with most homeownerâ€™s policies. If even minor damage that occurs to your home comes from an earthquake, it will not be covered by your homeowners insurance. Fortunately, you can purchase coverage against earthquakes separately.
Earthquakes are a troublesome insurance issue because they are unpredictable. Insurance companies look at historical (e.g. past earthquake occurrences) and geological (e.g. fault line locations) to try and set fair premiums. Because historical and geological data can vary widely between regions, so too can premiums across California. However, there are other factors that can lower your earthquake insurance costs. For example, a frame home (frame-stucco or frame-wood siding) is not as susceptible to earthquake damage as certain masonry (brick, stone, or cement block ) house, so it tends to be cheaper to insure.
AIS shops multiple earthquake insurance providers to find the rates that are right for you. We can secure a policy for you that may include:
- Dwelling coverage
- Personal property coverage
- Additional living expense coverage
- Loss of use coverage
Contact your AIS agent today to learn more about earthquake insurance.
This content is offered for educational purposes only and does not represent contractual agreements. The definitions, terms and coverages in a given policy may be different than those suggested here and such policy will be governed by the language contained therein. No warranty or appropriateness for a specific purpose is expressed or implied.