- While earthquake insurance is optional in California, home insurers must offer it to new homebuyers.
- Earthquake insurance covers your dwelling, personal property, and provides loss-of-use coverage.
- You can purchase earthquake insurance through your homeowners insurance provider.
California has a well-earned reputation as the earthquake capital of the US. Yet only 10% of California residents have earthquake insurance, according to the Federal Emergency Management Agency (FEMA). Many homeowners are underprepared for financial losses associated with earthquakes, which are not covered by standard
policies. If you’re a Californian living near a major fault line, you can protect yourself with earthquake insurance.
Is earthquake insurance required in California?
California homeowners are not legally obligated to buy earthquake insurance, and
don’t require it, says Glenn Pomeroy, chief executive officer of the California Earthquake Authority (CEA), the nation’s largest earthquake insurance provider. However, California law makes it mandatory for providers like State Farm and Allstate to proactively offer earthquake insurance in conjunction with a homeowners insurance policy to new homebuyers, according to Pomeroy.
Homeowners insurance will not cover earthquakes. You must purchase a separate policy to get coverage. Given the large number of damage-causing