Living in an earthquake-prone region means facing a unique set of risks. One of the most overlooked is the financial fallout from earthquake damage when there’s no proper insurance in place. Many homeowners believe their regular policy covers these events, but most standard plans exclude seismic activity. Without separate earthquake coverage, you could be responsible for tens of thousands of dollars—or more—in repair and recovery costs.
What Is Earthquake Insurance?
Earthquake insurance is a specific policy designed to protect against losses resulting from ground movement. It covers repairs to the structure of your property, compensation for lost or damaged belongings, and expenses for temporary housing if your residence becomes unsafe. While it won’t cover flooding, tsunamis, or landslides triggered by a quake, it does offer critical financial support when the earth shifts and your home suffers the consequences.
What Does It Include?
A well-structured policy addresses several key areas. Coverage usually applies to the physical framework of your home—such as walls, foundation, and roof—along with contents like furniture and electronics. In many cases, the policy also helps with temporary living expenses while restoration work is underway. This level of support is essential when immediate repairs aren’t possible, allowing you to maintain stability during a difficult period.
Understanding the Cost
Premiums for earthquake insurance vary based on your home’s location, construction type, and coverage limits. Homes built from wood may receive lower rates than brick or masonry due to their flexibility during seismic events. Another cost factor is the deductible, which often ranges between 5% and 20% of your home’s insured value. Although these policies come with higher deductibles, their financial protection far outweighs the potential burden of paying out of pocket after significant damage.
Skipping this type of insurance may seem like a cost-saving measure until a seismic event occurs. Even moderate ground movement can cause extensive and expensive damage. Without coverage, homeowners may use their savings, take on loans, or even walk away from a home that can’t be repaired. Having the proper protection in place helps ensure a quicker, more manageable recovery process.
Let Koda Insurance Services Help You Prepare
At Koda Insurance Services, we specialize in helping homeowners select earthquake insurance tailored to their property and location. Our team compares top-rated providers to find coverage that fits your needs—without overspending. Call (619) 600-5550 or complete our online form to get started. Don’t wait for the next shake to take action.
