Earthquake Insurance

7 Basic Earthquake Insurance This page explains the (3) main parts of the basic earthquake coverage offered by the California Earthquake Authority (CEA). Part 1: Your dwelling coverage. This is sometimes referred to as Coverage A and covers your home up to a certain amount, called the limit . • The limit on your earthquake insurance is the same as the limit on your homeowners insurance (dwelling coverage). • CEA offers deductibles of 5%, 10%, 15%, 20%, and 25%. You do not have to pay your CEA deductible up front to receive a claim check, it is simply the amount deducted from your total covered losses. • As with most earthquake policies, CEA insurance does not cover landscaping, pools, fences, masonry, or separate buildings. • Exterior masonry veneer is not covered unless you add that coverage to your CEA policy. • If you rent from someone else or own a condo, you do not need this coverage. Part 2: Your personal property coverage. This is sometimes referred to as Coverage C and covers things in your home, like furniture, TVs, and computers. • The limit starts at $5,000 and you can increase the limit to $200,000. • Things like china and crystal are covered if you purchase optional breakables coverage. Part 3: Additional living expenses (ALE) or loss of use. This is sometimes referred to as Coverage D and covers temporary and extra costs to live somewhere else while your area is evacuated or your home is repaired. • It can cover temporary rental of a home, apartment, or hotel room; restaurant meals; a temporary telephone line; moving and storage; furniture rental; and laundry. • It is bound to a reasonable time needed to repair the home, or for you to move to another permanent home. • The limit range from $1,500 to $100,000. • This coverage never has a deductible under CEA