An earthquake is a danger that is not normally included in any home insurance policy. Earthquake coverage can be purchased separately as a complement to its policy, and it is subject to a higher deductible coverage for other hazards.
What is covered?
Earthquake assurance covers loss or damage to the property and its contents caused by the earthquake. If the shaking of the earth results in a fire, only the loss or damage resulting from the fire probably would be covered by an insurance policy for ordinary homes.
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What to Consider
Earthquakes, although not as often as other natural disasters, can cause enormous damage to houses and other buildings. Unlike other natural disasters, earthquakes are not limited to a certain time and come without warning. They can occur at almost any time.
Over the years, earthquake costs have increased due to increasing urbanization near fault lines and vulnerability of the oldest structures that were not built or upgraded to current building codes.
Am I at risk?
According to studies, there is a probability of thirty percent over the next fifty years an earthquake strong enough to cause significant damage to certain areas. Earthquake insurance is worth considering if you live in a region prone to earthquakes.
The cost will depend on where your house is and how it was built. Your insurance company may be able to advise you on what you can do to reduce the risk of earthquake damage to your home.