KCAL Insurance Agency
Phone: (800) 681-8288 E-mail: info@kcal.net
Earthquake Insurance
Earthquake insurance is a pricey decision facing small companies each year. Quake damage is not covered by standard business insurance policies: Most insurers don't sell it as a stand-alone product. A small business has to already have a policy with the company. And there can be important exclusions to coverage. The greatest obstacle is the price of a disaster policy: a $5,000 premium for $2.5 million in property coverage is a typical example for a small business. And because the insurance is designed to cover only catastrophic losses, the deductibles are high, ranging from around 10% to 20% or more of the cost of any damage. In today's tough economy, small businesses say they don't put earthquake insurance, which is voluntary coverage, at the top of a list that includes mandated insurance such as workers' compensation.
Los Angeles Times
Los Angeles Times