Earthquake Insurance

Earthquake Insurance – Just In Case

Have you ever consider what your home and property might look like if a big earthquake shook your area? The thought could give a person nightmares. While losing your home can be devastating, an earthquake insurance policy could take some of the stress away.

Earthquake insurance was developed for one very specific purpose, to provide coverage to homeowners in case an earthquake damages or destroys their home. Most homeowner’s policies specifically exclude earthquake damage due to the usual high extent of the damages incurred in an earthquake.

There are parts of the country where earthquakes have a higher probability of hitting than others. For instance, earthquakes are more common in California if compared to Minnesota. These policies are best suited for individuals with a substantial investment in their home living in areas where an earthquake has been known to shake things up.

There are essentially three types of earthquake coverage. A policy can be purchased to cover only the home structure. Another type of policy might include possessions inside the home like great grandmother’s favorite rocking chair. A third type of policy would cover adjacent structures like swimming pools, detached garages and guest homes. As with most insurance policies, earthquake insurance can be customized to meet the needs of the customer for the right premium.

Earthquake insurance is certainly worth the expense if a home is located along many of the infamous fault lines like the San Andreas. If the home is destroyed, the policy will pay out damages up to the dollar value of the policy which is hopefully large enough to rebuild the home and replace the possessions.

They say insurance is like a crap shoot. People who lived in homes that were destroyed by a quake will tell you not having it in high risk areas is the real crap shoot.