An earthquake shook Northern Nevada and the Lake Tahoe region on Tuesday December 22, 2015. Some of our employees felt it, others did not. At my house in Incline Village it felt like a huge tree fell on the roof.
Health and safety are going to be the first concern during a major disaster. Since this was a minor event, now is a great time to consider earthquake insurance. Did you know that a standard homeowners policy or commercial property policy does not cover damage caused by an earthquake? Now that I have your attention, here is some information about earthquake insurance.
- Earthquake insurance is usually purchased on a separate earthquake insurance policy. Some insurance companies will bundle earthquake coverage with flood and landslide coverage.
- “It’s better late than never” does not apply to purchasing insurance: Insurance carriers will put a binding moratorium in place when a disaster occurs. Basically, the insurance carrier will not issue a new property policy in the area affected by the disaster.
- But won’t the government help out? If property is damaged by a natural disaster and there is no insurance coverage, loans may be available to rebuild. At the end of the day, it is probably worth the money to pay an insurance premium and have coverage when a disaster strikes.
- How do I get a quote? In the state of California, admitted insurance carriers are required to offer earthquake insurance to home owners every other year. Otherwise, contact Menath Insurance to get a quote.
With all this talk of El Niño, property owners should consider landslide and flood insurance too. Drought and wildfire effected areas are especially risky for flood and landslide. There have already been a few landslides in the Pacific North West this year.
In other insurance related events, a Russian rocket fell back to earth Tuesday December 22, 2015. Although it’s unlikely that large pieces actually land on the earth, know that some property policies provide coverage for damage caused by falling objects! To check if there is coverage read your policy and look at the covered perils, or contact your agent at Menath Insurance.