COVERAGE DESCRIPTION: Provides coverage for loss to your dwelling, other structures, and personal property by an earthquake, including land shock waves and tremors.
IS THIS OPTION RIGHT FOR YOU AND TIPS ON SELECTING A LIMIT: Earthquake is generally available up to the full limits of your insurance. Deductible options are on a percentage basis and range from 5% to as higher as 15%, which is applied to each coverage, and to the limit of insurance and not the amount of the loss. This means that a home with a dwelling limit of $500,000 and a 10% deductible, the damage would need to exceed $50,000 before the policy would pay.
CLAIM EXAMPLE: When n earthquake struck the area the foundation walls cracked and bowed. The damages were in excess of $140,000 to complete the repairs. Thankfully the client thought enough to spend a few dollars on Earthquake coverage and only has their 5% deductible to pay out of pocket, which was $25,000 on a $500,000 home.