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Earthquake Insurance

The most intelligent approach to considering earthquake insurance, as with other kinds of insurance, is to buy coverage only when the lack of it will create a financial burden. In short, it is necessary to decide at what level of loss, repair or rebuilding your home becomes an unacceptable burden. This is an individual financial question and must take into consideration the value of your home and probability of an earthquake in your area.

A generally accepted rule of thumb is that you should not risk more than 10% of your liquid assets. The damage caused by a minor earthquake can be borne without insurance coverage, but the potential damage from a major earthquake would far exceed 10% of most individuals liquid assets.

Earthquake insurance is very specific coverage and understanding the details of your policy is very important. For more information on earthquake insurance visit our specialist site below.