Why not Earthquake Insurance? 25 Years after a major CA quake!
25 years after the Northridge earthquake, why most homeowners aren’t interested in earthquake insurance
The devastating Northridge earthquake, 6.7 magnitude temblor, struck in the very early morning killing 60 people. Recently, Bay Area residents were awakened by the jarring of a 4.4 quake on the Hayward Fault near UC Berkley. During the past week, there have been 128 quakes in California and 13 in the Pacific Northwest. Admittedly, homeowners don’t like to dwell on it, but we need to protect our families from the financial risk of an earthquake. Risk solutions are a very real part of the insurance industry, earthquake insurance is the only financial solution to protecting the family from the financial downfall following a catastrophic earthquake. The following are the very reasons that homeowners need earthquake insurance.
Because of “blind thrust” faults
At 4:31 a.m. on January 17, 1994 the Northridge earthquake struck, injuring more than 9,000 and destroying thousands of buildings. Apartment complexes crumbled, freeways collapsed, and homes were damaged or destroyed. Gas mains erupted causing multiple fires throughout Los Angeles County. Power outages were widespread across the San Fernando Valley and City of Los Angeles. The Northridge quake was caused by the sudden rupture of a previously undocumented “blind thrust fault” (a fault that’s invisible on the Earth’s surface and thus not previously mapped). The quake was the costliest in U.S. history, with 60 deaths and damage valued at over $20 billion.
Because faults are continuously being discovered
New fault lines are being discovered every year. Ten months ago, geologists reported that the Newport-Inglewood Fault in Orange County and the Rose Canyon Fault in San Diego are actually one continuous fault, capable of a 7.4 magnitude quake that would impact 20 million residents in Los Angeles and San Diego. A few months prior to that finding, a new fault line was discovered less than 100 miles east of San Diego County under the Salton Sea.
Because it’s not fiscally wise to ignore the risk
Many homeowners still don’t know that their regular home insurance policy may not cover any earthquake damage, so they turn a deaf ear when you bring up the subject of residential earthquake insurance. And many who are new to the West Coast have never experienced an earthquake and may therefore be unprepared.
Prior to the Northridge quake, more than 87,000 property owners refused earthquake insurance, saying “I don’t live near the Bay Area, so I’m probably safe.” They were wrong. That previously unknown fault is located nine miles beneath the town of Northridge.
From the Southern California/Mexico border to the tip of Washington, West Coast states encounter earthquake hazards more than any other region in the country. Second only to Alaska in terms of high risk, California has logged hundreds of identified faults, 200 of which are considered potentially hazardous. That’s because more than 70 percent of the state’s population resides within 30 miles of a fault. Annually, California generally gets two or three earthquakes large enough to cause moderate damage to structures (magnitude 5.5 and higher).
Oregon and Washington lie atop two colliding tectonic plates, causing the Pacific Northwest coastline to bulge upwards. More than a thousand quakes are recorded each year in Oregon, but less than three percent are strong enough to be felt. In Washington, most earthquakes occur west of the Cascades, although some damaging events do occur in the eastern part of the state. Of greater risk for both states is the off-shore earthquake fault system called the Cascadia Subduction Zone. This off-shore fault system is capable of delivering a 9.0 magnitude quake that can create deadly tsunamis, which may last for hours and with increasing intensity.
Because we can offer homeowners a number of earthquake insurance solutions
With a successful track record for providing earthquake risk solutions since 1986, HDA Insurance is one of the leading providers of residential earthquake insurance in CA, OR & WA. We offer highly rated carriers providing stable, long-term earthquake capacity. Some of our earthquake products offer broader coverage, higher limits and lower deductibles. Our rates are very affordable and competitively priced depending on the location of the risk and age of the dwelling.
Due to popular demand, insurance websites often publish easy quote and purchase links as most users prefer a do-it-yourself option which can typically be utilized outside of normal business hours providing a digital platform to answer questions and buy earthquake insurance.
When dealing with the customization of coverage; whether wanting the options of a greater range of deductible choices or perhaps buying insurance for only that part of earthquake insurance which you’re interested in, it is best to consult with one of our licensed representatives who will listen to your specific desire and offer you the best option of coverage which may indeed not be available using one of our do-it-yourself links. We believe that this topic is worth a professional review and you deserve to ask all your questions up front; we even offer to share a copy of a sample policy for your review. We believe in a factual no sales approach and strictly adhere to an information only approach. Please do not hesitate to contact us either by telephone or by using our Contact Us link.