Myths and Facts Regarding Earthquake Insurance

Myth #1
" There is little chance of a large Earthquake in the Southern California Area"!

Fact:  
According to a study by the United States Geological Survey, it has been determined that there is a 46% chance of experiencing a 7.5 or greater earthquake in the next 30 years in the southern half of this State. http://pubs.usgs.gov/fs/2008/3027/. Therefore, we highly recommend that you secure an earthquake policy as your homeowner's policy does not cover such peril.

Myth # 2
"Earthquake insurance is too expensive" !

Fact
Premium for earthquake coverage can vary dramatically based on age of home and location. However, for most people, earthquake coverage is extremely affordable! We can provide a quick and reliable quote instantly!

Myth #3
"A large Earthquake will bankrupt ALL Insurance Companies"

Fact
There are many non-admitted companies offering earthquake coverage that may not have enough surplus to cover a large event. However, currently, the CEA has estimated to have over $9 Billion in claims-paying capacity and the CEA is not permitted to file bankruptcy!

Myth #4
" If we have a large Earthquake, I can absorb all the costs myself"

Fact
Have you really considered all of your "out of pocket" expenses if you had to rebuild your home after a major earthquake?

Consider the following the following:

• Cost to repair or rebuild your home. Will you have cash on hand? Will you be eligible for an Home equity   loan for your devalued home? How will the unrepaired damage affect resale?

• Expenses incurred by you and your family for moving out your home as it's no longer safe to be there.

• The cost to rent another location will be higher due to supply and demand.

• FEMA may not be able to help unless you qualify


Your home is your #1 investment and that is why you should seriously consider the benefits of a tailor made Earthquake insurance policy offered through the California Earthquake Authority (CEA).

Farmers Insurance is a subscribing member of the CEA, which can offer you deductible options of 10% and 15% as well as increased coverage for Additional Living Expenses and Personal Property Coverage.

Now that we have covered some facts and myths about Earthquake coverage, please give us a call so that we can prepare different options for you to review. There is no obligation to buy. Our goal is to educate you and present you with the options available to you!

How Prepared Are You For The Unthinkable?

Both cost about $20/month.... Can you afford to have both?... 

One of my client's cousin recently passed away and left 4 young kids and a wife behind. He was the provider and she is the homemaker. However, right now, she now has her world upside down due to this unfortunate event.  To top it off, he didn't have life insurance. He was only 35 years of age.

He was riding his motorcycle on the freeway when he was involved in an accident with a vehicle. They collided and he did not survive the crash. The family is going through some difficult times and although they have the support of the immediate family, it is not going to be the same without him.

Unfortunate events as these do happen and we must learn to protect ourselves before it's too late.  Please think about life insurance. The younger you start the cheaper it is.

It's never to late, start now by setting aside $100,000 for your family for as little as $20 per month.  You can establish a serious amount of protection for those you would leave behind should tragedy strike.  $20 per month is affordable for every family*.  Protect your loved ones. 

Pick up the phone and call me to discuss a personal life insurance policy, or if you prefer, send me an email.

*this quote will vary depending on age and overall health, and all prospects must go through underwriting approval.