In California, earthquakes pose a threat every single day. But in reality it’s not just Californians affected: all states are at risk of dealing with shaking, with 16 states at high risk. However, thinking about getting insurance coverage for earthquakes is often an afterthought when it shouldn’t be. But fewer homeowners are purchasing earthquake insurance, and it’s been that way for awhile now.
In 2014, the Insurance Information Institute released a survey that found only seven percent of homeowners nationwide have earthquake coverage, down 10 percent from the prior year. Less and less people are investing in coverage, becoming complacent in the fact that another big earthquake hasn’t happened yet. But earthquake insurance is a necessity that most people don’t realize they should have. After California’s devastating 1994 Northridge quake, 30 percent of homeowners had coverage. Don’t wait until something happens to get some type of coverage.
Why People Don’t Have Coverage
The biggest thing with why people don’t have coverage is the cost. Homeowners are weighing the risk of a tremblor that’s incredibly damaging actually happening. For those who’ve never experienced a destructive earthquake, they feel that it isn’t worth it. It’s important to always be prepared instead of trying to cut corners. We can’t forget the 1994 quake and the amount of damage it caused.
California is the state with the greatest earthquake concern, but it is by no means the only state that experiences earthquakes. Assuming that an earthquake will never strike their home is a naive belief that could greatly cost homeowners should a disaster occur.
When there’s an earthquake, buildings are going to shake, and in turn, they might crack. It’s not just the building you have to worry about; personal possessions can get damaged as well. That’s where earthquake insurance steps in, making sure that all of those things are taken care of in the event of an earthquake. An ordinary homeowners insurance policy can provide some coverage against property damage, but earthquake damage is typically considered a separate variety of damage, one that does not receive any coverage or compensation from standard homeowners policies.
About Owens Group Insurance
Owens Group Insurance, a completely family-owned and managed operation spanning three generations, has provided families and businesses with comprehensive insurance solutions since 1957. Our experience in the industry, knowledge of the sector, market access, attention to detail, partnerships with leading insurance carriers, meticulous customer service, and commitment to providing innovative solutions helps us protect our clients’ assets, employees, financial security, businesses, and families. We have a team here that is ready to help you protect your assets. Contact us today at (800) 26-COVER to learn more about how we can help you.