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I live in CA and often considered getting earthquake insurance but the premium and deductible are bonkers that it almost never makes sense to me. A $2500 premiu
by vkat 5y ago
I live in CA and often considered getting earthquake insurance but the premium and deductible are bonkers that it almost never makes sense to me. A $2500 premium for 20% deductible on everything separately(construction, personal belongings, construction premium, loss of use...). So in the event of a massive earthquake I am supposed to shell out > $200k out of pocket for the deductible before the insurance kicks in, why would anyone pay for this?
- IkmoIkmo 5y agoBecause of the 80% preventing financial ruin?
- dilyevsky 5y agoIf earthquake is powerful enough to cause this much damage aint nobody gona pay that
- vkat 5y agoyeah, exactly my thinking. Insurers would just go bust.
- pomian 5y agoThat's when the government declares "A state of emergency", so that the insurance companies are baled out.
- thehappypm 5y agoThis seems silly -- a small earthquake can cause catastrophic damage to just one house if that one house is unlucky.
- vkat 5y agoIf the earthquake was so big then coming up with the cash needed for the deductible would be at the bottom of my list. Instead I would try to find an alternative place to live for 6-12 months. If there was an insurance that covers living and mortgage expenses for an year, I would totally buy that.
- deleted 5y ago[deleted]