By The Chronicle staff
Saturday, Feb. 28, marked the 25th anniversary of the 6.8 magnitude Nisqually Earthquake that shook Western Washington’s Puget Sound region. The milestone is a reminder that the best time to prepare for the next major earthquake is before it happens, a news release from the Northwest Insurance Council stated.
Following the 2001 Nisqually Earthquake, more than 9,500 insurance claims were filed, and insurers paid more than $315 million to help policyholders repair homes and businesses. Yet, according to the release, most homeowners today and many businesses in the region still do not carry earthquake insurance.
Many people assume earthquake damage is covered under standard homeowners or business insurance policies, when it is not. Earthquake coverage is typically available as a separate policy or endorsement. Deductibles often range from 20 to 25 percent of a structure’s insured value, which can discourage some buyers, but coverage costs vary widely based on risk factors and building characteristics, according to the release.
Surveys suggest only 10 to 20 percent of insured homeowners in Washington and Oregon also carry earthquake coverage.
“Earthquakes are inevitable in our region. Financial devastation doesn’t have to be,” said Kenton Brine, president of NW Insurance Council. “Reviewing your coverage now — before the ground starts shaking — gives families and business owners options. After a disaster, it’s too late.”
For more information, visit https://www.nwinsurance.org/asset/699de83be0fdf.
Based in New York, Stephen Freeman is a Senior Editor at Trending Insurance News. Previously he has worked for Forbes and The Huffington Post. Steven is a graduate of Risk Management at the University of New York.