Standard home insurance does not usually include terms of coverage in the event that an earthquake causes damage to property. Hence, getting a separate earthquake insurance guarantees that a homeowner will not shoulder all the expenses incurred to rebuild a property affected by earthquakes.
These are the things to consider when taking out an earthquake insurance:
1. It becomes a must if you reside in an area with a high quake risk.
Homeowners may check their current insurer if additional provisions in their insurance policy could cover earthquake damage. Otherwise, a separate earthquake policy can be taken out. Aside from quake damage, this kind of policy also covers destruction brought by land movements like landslides and earthquakes.
2. Check the premium for an earthquake policy.
Lower premiums are offered to residents with wood-frame homes that can withstand an earthquake better. A higher premium will be attached to homeowners with brick or masonry houses which are not able to move with the land when there is a quake.
3. Insure expensive belongings, too.
It may cost more to take out a more comprehensive quake policy, but this will ensure that your expensive items, like paintings and jewelry, are covered should these suffer damages.
4. Get quake insurance for other assets.
A comprehensive policy covers earthquake damage but not all vehicle owners have this kind of policy. Check also if a marine policy can be taken out to cover damage from an earthquake.
5. Prepare for the worst-case scenario.
It pays to be ready ahead of a calamity by safekeeping all insurance documents. Take photos also of the home and other belongings so that damage payments can be easily processed in the event disaster strikes.
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