The two large earthquakes centered near Oklahoma City over the past few weeks have left many policy holders wondering if their home insurance policies would cover them in the aftermath of a major tremor.
The short answer is that property damage caused by the shaking movement of the earth is not covered by a standard homeowners insurance policy, although some subsequent damage may be eligible for coverage.
However, you can still buy earthquake insurance. In some cases, you may be able to add an earthquake endorsement to your home insurance policy. However, you need to know not every insurance company offers earthquake coverage. If that is the case with your particular insurance carrier, there might be separate, standalone earthquake policies that could be available.
Unlike flood insurance, which is underwritten by the Federal Government, earthquake insurance is offered by private insurance companies.
Earthquake insurance covers both the structure and the contents of a home. Earthquake policies and endorsements have deductibles that usually are set as a percentage of the home's replacement value from 1 percent to 15 percent. In the case of an endorsement, the earthquake deductible is separate from and in addition to the deductible on the home insurance policy.
If your car is damaged or destroyed by an earthquake, that damage is covered by your comprehensive coverage in your auto insurance policy.
If you would like for us to look into options on your particular insurance policy you can call us at 405-373-2977. We will look at options that make the most sense in your particular situation. Please do not hesitate to call if you have questions.
Scott Cornelius CIC