EARTHQUAKE Insurance – Customer-friendly
Taking precautions against earthquakes is something far too many people reject, since their belief is that the chances are so slim that the cost isn’t worth it. Either that, or they’re under the mistaken belief that only individuals on the West Coast are vulnerable to this issue.
Should one strike and cause damage to your property, your homeowner’s insurance won’t cover it due to the fact that natural disasters of this type don’t qualify for coverage.
The Reasons for Coverage
One reason for purchasing earthquake insurance before one happens is that, because of the aforementioned slim chance of it happening, the premiums for such coverage will be much lower. Once an earthquake does hit, those without it won’t be able to purchase it for one or two months afterward, and the premium will almost certainly be higher.
Types of Policies
A basic policy will cover the residence you’re living in, with the garage also a possibility, most personal property and additional living expenses while any repairs take place. A more extensive or comprehensive policy will cover the cost of removing any debris, the added costs to stabilize the foundation and to meet building codes. Of course, in the latter case, the premiums will be higher.
What’s Not Covered
However, those who purchase this insurance need to know that it won’t cover damage to vehicles, resulting fires, masonry covering the home, land issues like sinkholes, flooding or sewer issues and any damage that preceded the earthquake. Also, deductibles can be steep, depending on what coverage is selected.
A Sense of Calm
In short, the peace of mind that your investment won’t be destroyed and the ability to know what lies ahead stand as the key reasons why earthquake insurance makes so much sense.