Is earthquake insurance necessary?

Is Earthquake Insurance Necessary?

When people think of earthquakes, they automatically think of the state of California. However, anyone that watches the news regularly will know that earthquakes happen all around the world. Statically speaking, on average there is about 5 thousand earthquakes that happen in the United States every year. Though some areas are more prone to earthquakes, they can happen just about anywhere because there are countless fault lines that run from the east coast of the United States to the west coast. Because earthquake can happen anywhere, a person may be asking themselves if earthquake insurance is necessary.

 

earthquakeLocation plays a big part: There are some places where the fault lines are more prominent like California, but this is not the only state that earthquakes can happen. The problem with earthquake insurance is that people who do live in California are not really aware of the danger they are in from earthquakes. Earthquakes can happen in the blink of an eye, and even if the quake last only a few seconds, the tremors can be strong enough to wreck a house or a building. One of the biggest earthquakes to hit California happened in 1989 lasted for approximately 15 seconds, but the strength of it collapsed a freeway and caused damage that can still be seen to this day.

Rates can depend on certain factors: Getting earthquake insurance is the right decision, but the rate that a person is going to pay is going to be determined by a few factors. One factor that the insurance company is going to look at when determining your rate is how old your house is. An older house is going to cost more to insure it against earthquakes. Another factor that will make the insurance higher or lower is what the house is made of because homes made of wood can take the shaking associated with an earthquake better than brick or stone.

Soil consistency: Soil across the Unites States is made of different consistency. Some soil that is too loose or too moist can offer different resistance to earthquakes. If a house is built on loose soil, the insurance company may see that as a factor in charging a person more for their insurance policy.

Earthquakes can happen anywhere whether it is in the United States or countries around the world. Though some places are more prone to earthquakes than others, the fact is that earthquakes can destroy a home and damage property in the blink of an eye.  Earthquake insurance is important and things can make a person may more like the age of the house, the soil condition, and how close that person lives to a fault or in an earthquake prone area.

References:

http://money.cnn.com/2010/03/04/pf/saving/homeowners_insurance/

https://www.usaa.com/inet/pages/advice-disaster-knowyourquake?akredirect=true