1 – What it is
Earthquake insurance is fairly self explanatory – it is an insurance package that is meant specifically to protect a certain asset from any damage that may occur from that asset being in an earthquake. People may think that these kinds of policies are only meant for real estate, but in the real world, people actually insure many different types of assets against damage from earthquakes, up to and including their personal being.
2 – Who it is for
Insurance that protects assets from earthquakes is meant for anyone who may face an earthquake at some point in their life. Whether protection for personal assets or business assets, insurance for earthquake damage is a very important part of some real estate and asset contracts that can serve as a very strong bond of protection.
3 – How it works
Although the details of any insurance agreement are subject to the terms and conditions of the actual contract, there is an overarching spirit that most insurance packages adhere to. Insurance packages that are meant to protect assets from earthquakes will usually begin to pay out after a certain deductible has been reached if there is proof that a protected asset has sustained damage because of an earthquake that is in the area.
4 – Different types of coverage in existence
There are private earthquake policies as well as policies that are meant to keep a business or real estate owner in compliance with local ordinances. This is very common in some parts of California where earthquakes are known to hit on an annual basis.
5 – Major benefits
The number one benefit of an insurance package that is meant for earthquakes is the ability to forgo many of the huge out of pocket expenses that come with this type of damage. In many cases, earthquakes can completely total assets, putting a complete stoppage to business that relies on those assets.