Tag Archives: Earthquake Insurance

Best time to buy earthquake insurance

Is Now the Best Time to Buy Earthquake Insurance

With the recent talk in the media about forecasted quakes, you might be wondering, “should I buy earthquake insurance?”

You’ve likely seen the commercials from the California Earthquake Authority with topics like, “it’s not a matter of if, but when,” and informative videos about the hundreds of fault lines that spider beneath California.

California is no stranger to big quakes: Napa experienced a 6.0 in 2014, San Francisco shook in 2004, and Northridge had a 6.7 in 1994. These areas were hit with millions – and billions – of dollars in property damage.

Recently California residents have been seeing news reports on earthquake forecasting.

In early October there was a “swam” of activity close to a big fault – and that got seismologists quaking.

On a fox news report, Seismologist Richard Allen of UC Berkley, related that on any given day on the San Andres fault the chance of a major earthquake is about 1 in 6000, but in October the number rose to 1 in 100.

While no one can predict the future, it’s safe to say that California has a history of earthquakes and will likely experience more quakes in the future.

 Great news for Earthquake Insurance

Earthquake rates have gone down recently – even as recently as two months ago. Some of the newer carriers have competitive rates and there are more options now in the market.

There is also great news for homeowners with a pool: Previously there was no or limited coverage for pools, and now you can get coverage on your pool. (California Earthquake Authority does not offer coverage for pools).

Understanding your Earthquake Insurance Options

Your premium may depend on a number of factors:

  • The value of your home
  • The location of your home. (Rates are still rated by zip code with some areas, like Northridge having higher rates than areas in Orange County.)
  • The carrier you choose
  • The deductible plan you opt for

Understanding your deductible options:

The most common deductible option chosen is 15%, and the second most is 10%. That is because those used to be the only two options available! However, homeowners can now choose from deductibles anywhere from 2.5% to 25% so there is plan that can fit anybody’s needs and budget

Earthquake Insurance for Commercial Buildings

Many business owners that once considered earthquake insurance for their commercial properties found it to be cost prohibitive or unavailable. There are now several more companies offering commercial earthquake insurance in CA and this increased competition has lowered rates drastically and opened up availability. Coverage is also now available for older buildings, concrete and brick buildings, and buildings with underground parking

 

Homeowner’s insurance policies are not covered for earthquakes. If a damaging quake hits your area you could be left paying for the costs to rebuild out of pocket. FEMA – The Federal Emergency Management Agency – doesn’t have the money to repay such large-scale losses.

Cappuccino Insurance Agency currently writes with most of the major companies that provide earthquake insurance in CA. We can help you decide which company makes most sense for you.

Contact us for a free consultation on your earthquake insurance options.

The Best of Earthquake Preparedness Month

California is known for its great beaches, fine wines, and… earthquakes. It’s been a while since we’ve experienced a quake of notable size (1994, to be exact), but out of all of the states in the United States, we’re still the earthquake capital.

It’s a fact that some Californians take pride in… because you just can’t find quakes like ours in places like Ohio.

CA Rocks Tee                Screen Shot 2016-04-15 at 1.33.45 PM

Why is April designated Earth Quake Preparedness Month?

On April 18th, 1906 San Franciscans were shaken from their beds as they experienced, a reported, 8.3 quake. The rest is California history.

So in the month of April, organizations like shakeout.org and ready.gov bring awareness to an issue that we’re not usually thinking about until the ground beneath our feet is, literally, moving.

Check out this earthquake PSA from Dwayne Johnson, aka The Rock.

How likely is an earthquake?

If you’re in California an earthquake of some magnitude is inevitable, at some point. People have been speculating about “the big one” for some time. Apocalyptic scenarios have been the subject of major motion picture films and alarmist news stories, like this recent story from ABC news.

But the USGS (United States Geological Survey) would like to remind us that no one can predict earthquakes. And while they’re on the subject, no, California will not fall off into the ocean if there is a big enough quake.

How to Prepare for an Earthquake… Really

We’ve scoured the Internet for some solid sites offering tips for earthquake preparedness…

The Red Cross, How to Prepare

How to Create an Emergency Kit

How to Create an Emergency Kit

Download the Red Cross Earthquake App

Cappuccino Insurance Earthquake Tips

Should you have Earth Quake Insurance?

Since we’re an insurance agency, we’re usually thinking about insurance. It’s what we do.

Most California homeowners are aware that if your home is damaged in an earthquake, your regular insurance doesn’t cover it. The California Earth Quake Authority is one agency, among others, that offers insurance.

But should YOU have earthquake insurance?

Maybe. It depends.

It depends on…

  1. Where you live. Do you live in a high-risk area? (If you live in California you have to raise one hand, but if you live on a fault line, you have to raise both.)
  2. How much equity you have in your home. If you have 20% equity or more, it’s time to start looking.
  3. If it’s it worth it for you. Some policies require you to pay a 15% deductable before you start rebuilding.

Deciding if earthquake insurance is right for your and your home requires a little math and personal assessment.

We’re here to help.

cappuccino-logo

 

Is Your House Vulnerable to Ruin?

Keep stable during shaky times with earthquake insurance in Westlake Village, CA.

In an area prone to earthquakes, very few people have earthquake insurance. Only 17 percent of Californians have an insurance policy that covers earthquake damage. In this area, earthquakes are a yearly occurrence and are one of the natural disasters to destroy houses and neighborhoods within minutes. Homes can be torn apart to the point of total devastation and homeowners can face extreme losses, both physically and financially. Earthquake insurance is designed to protect your assets during an earthquake, and if the home or possessions were to be damaged, to cover the replacement and rebuilding expenses. So why is there such a lack of coverage?

Unfortunately, earthquake coverage in the 1990’s has given the insurance type a bad rep. The coverage was very bare-bones and was typically limited to $5,000 in damages. Meaning that in the 1994 Northridge earthquake, if a home’s roof had been ripped off, $5,000 was not going to help the homeowners greatly. If you have fallen victim to this circumstance, we understand how important it is that you receive proper and full insurance now.

Luckily, modern insurance is different! Coverage is more expansive, affordable, and protective. Earthquake coverage can range from protecting the basics, to covering your garage and contents, and additional living expenses if you need temporary housing while your home is being repaired.

Taking effect on January 1, 2016, there will be new options for earthquake coverage including higher policy limits, deductible options, and mitigation discounts. If you own a home in California, an earthquake is an extremely likely disaster to face. Take a step into the major safety net that is earthquake insurance by contacting Cappuccino Insurance Agency in Westlake Village, CA.

earthquake measures and magnifier

Protect Your Home When The Earth Starts Quaking

Earthquake Insurance Basics

California is one of the most sought after places to make a home. However, those who already live in California know that the beautiful coastline and warm weather also come with the danger of experiencing an earthquake. Investing in a specific earthquake insurance policy is the best way to ensure that you and your family stay safe in case of an earthquake.

While your homeowner’s insurance policy will provide coverage for many perils, it will not provide any coverage for damage that is done during an earthquake, only an earthquake insurance policy will. Typical earthquake insurance policies will provide coverage for any type of earth movement, which can include sinkholes, mudslides, and mudflows. It is important to keep in mind that an earthquake insurance policy will not provide any coverage for a fire that is started due to an earthquake. However, your home insurance will kick in and cover any damages caused by the fire.

Earthquake insurance can be bought as a stand-alone policy, or can be added onto your home insurance as an endorsement. No matter which way you choose to protect your home, there are two parts to the policy. The first part will provide coverage for the structure of your home and the second part will provide coverage for your personal property. When looking for the right amount of coverage, make sure to take into consideration the value of your belongings. Using your home inventory can be a great way to ensure that you invest in the right amount of protection in case of an earthquake.

Contact the insurance professionals at Cappuccino Insurance Agency in Westlake Village, California for all of your Conejo Valley earthquake insurance needs. We will work with you to ensure that you have the protection that you deserve when the ground starts to quake.