To choose the best earthquake insurance companies, our editorial team analyzed regional and national home insurance companies to assess which offer earthquake policies, affordable rates, and the best coverage options, customer service, and savings to homeowners. We prioritized competitive rates, 24/7 customer service, homeownership discounts or bundling options, and specialty or supplemental coverages.
About half of all Americans are exposed to the risks of earthquakes, according to U.S. Geological Survey data. Earthquakes can be powerful enough to collapse entire buildings, disrupt utility services, and even trigger flash floods, fires, tsunamis, and more.1
Yet standard homeowners policies won’t cover damage from natural disasters like earthquakes. If you live in an earthquake-prone area, you should consider earthquake insurance to protect your home and belongings. And, because earthquake insurance can be expensive, it’s important to compare quotes to find the best policy for your needs.
What earthquake insurance covers
An earthquake insurance policy covers damage that results from seismic activity, which is usually defined as “shaking or trembling of the earth, caused by volcanic activity, tectonic processes, or any other cause,” according to the Nevada Division of Insurance. Depending on the policy, you may also be covered for events directly related to major earthquakes, such as landslides.
Earthquake policies usually consist of three parts:
If an earthquake damages your home or belongings, you can file a claim. You may need to pay a deductible, which is the out-of-pocket cost you’ll pay before coverage kicks in. Each type of coverage comes with a policy limit, which is the highest amount your insurer will pay for a covered claim.
Some insurance companies offer riders you can add to earthquake insurance. If your policy doesn’t feature the coverage you need, ask your insurer about adding it to your plan. Additional coverage can include upgraded material replacement, repairs to your land, and emergency repairs for aftershock protection.
What does earthquake insurance exclude?
Earthquake insurance may exclude certain items or materials. And if the earthquake causes another type of natural disaster, another type of insurance will typically cover it. For example, homeowners insurance usually covers damage from a fire, while flood insurance covers water damage.
Here’s a list of what’s usually excluded in earthquake insurance policies:
Pros and cons of earthquake insurance
Before purchasing an earthquake insurance policy, consider some of the potential benefits and drawbacks.
The best earthquake insurance companies
Earthquake insurance premiums depend on where you live. For example, California has a very high earthquake risk, and people living there pay higher premiums. California even has state-led earthquake insurance, the California Earthquake Authority (CEA), to help protect California residents in high-risk homes.
The type of material used to build your home can also affect your premiums. Wood frames tend to withstand earthquakes better than brick frames. Larger homes made with fancier building materials are much more costly to replace than a regular-sized home.
All these factors will affect your rates and which company is the best for you.
Allstate: Best for coverage add-ons
American Family Insurance: Best for discounts
Amica Mutual Insurance: Best for customer satisfaction
Nationwide: Best for bundling
Liberty Mutual: Best for mobile policy management
How to buy earthquake insurance
Unlike flood insurance, earthquake insurance isn’t available through the federal government. But you can buy earthquake coverage on the private market.
Every insurer has a different way of setting rates, so you might find different prices at two different companies — even for the same coverage. That’s why it’s so important to compare earthquake insurance policies to find the best deal available to you.
Here are the basic steps you can take to buy earthquake insurance:
Estimate the coverage you’ll need. Find out how much it would cost to rebuild your entire home and replace the belongings inside. You can set up a home inventory to keep track of these details.
Research insurance companies. Start by looking for insurers that offer earthquake policies in your area. Check each company’s products, premium costs, deductibles, discounts, policy limits, and special offerings to get a wide range of options.
Gather details about the home you’re insuring. The insurance company will need to know your address, the age of the home, the age of the roof, and any protective devices installed. It may also ask about your claim history.
Get quotes. You can either call individual insurance companies, visit their websites, or use a comparison tool to gather information and compare quotes.
Buy a policy. Once you’ve chosen an insurance company that offers the earthquake insurance that you need at an affordable price, you’ll fill out the application and choose your payment method.
How much does earthquake insurance cost?
Earthquake insurance premiums may cost anywhere from $0.50 to $15 per $1,000 of coverage. On a $200,000 home, for example, the price of an earthquake insurance policy may range anywhere from $100 to $3,000.
When setting rates, insurance companies usually take the following factors into account:
Your home’s location: Homeowners in earthquake-prone areas generally pay more for earthquake insurance.
The age of your home: Premiums are typically higher on older homes because they’re more prone to damage during an earthquake and may not comply with current building standards.
The construction of your home: Homes built with wood frames are cheaper to insure than brick buildings because they better withstand quake stresses. Large homes constructed with expensive materials cost more to insure because they’re costlier to rebuild.
The cost to rebuild your home: When setting your policy limits, you can choose between replacement cost and actual cash value. Replacement cost is more expensive because the policy pays to rebuild or repair your home using materials of similar kind and quality.
The deductible: Choosing a larger deductible can help you save money on premiums, though you’ll be responsible for covering more of the loss in the event of an earthquake.
What to know about earthquake insurance deductibles
Insurers usually calculate deductibles on earthquake insurance as a percentage of your coverage limit rather than a dollar amount. The percentage usually ranges from 2% to 20%. If your home is insured for $200,000, and your deductible is 5% of your home’s replacement value, the insurer would deduct $10,000 from your claim payment.
In states with a higher-than-average risk of earthquakes, such as Washington, Nevada, and Utah, insurance companies often set minimum deductibles at around 10%.
For coverage and deductible purposes, policies also specify the time frame of a single event. For instance, aftershocks that happen within 72 hours of the earthquake are usually considered one occurrence. So, if you need to file a claim against your earthquake coverage, you pay your deductible only once for damage that occurs within this time frame.
Is earthquake insurance worth it?
Like homeowners insurance, no state requires you to have earthquake insurance coverage.
Whether you should buy coverage depends largely on the following factors:3
Your proximity to fault lines
Frequency of earthquakes in your region
How long it’s been since an earthquake hit your region
Your home’s structure, layout, building materials, and quality of construction
Local conditions, such as type of soil, slope of the land, annual rainfall, and nearby bodies of water
Value of your property and its contents
Cost of an insurance policy for your home
Across the U.S., residents in 42 states have a reasonable chance of experiencing a damaging earthquake.
The nine states at highest risk of earthquakes are:
Alaska
California
Hawaii
Idaho
Montana
Oklahoma
Oregon
Texas
Washington
The risk of earthquakes is lowest in:
Florida
Indiana
Michigan
Ohio
North Dakota
Pennsylvania
Rhode Island
Wisconsin
Wyoming
Earthquake insurance FAQs
If you still have questions about earthquake insurance, the answers below may help.
Does FEMA cover earthquake damage to homes?
The Federal Emergency Management Agency, or FEMA, doesn’t offer earthquake insurance to cover damage to homes.
But its Individuals and Households Program provides support for people who have been affected by a federally declared disaster. The program isn’t a replacement for insurance, but it may provide emergency financial assistance for things like temporary housing.
Which states require earthquake insurance?
None. In the U.S., no state requires homeowners or renters to buy earthquake insurance.
Why wouldn’t someone buy earthquake insurance?
Some people may not be aware that standard homeowners insurance doesn’t cover damage from earthquakes. Additionally, deductibles can be relatively high, ranging from 2% to 20% of the cost of replacing a home. So, even if you’re insured, you wouldn’t be able to file a claim if the cost of the damage doesn’t exceed your high deductible.
Can you get earthquake insurance for an apartment, condo, or mobile home?
Some insurance companies offer coverage for people who rent or own a condo, apartment, or mobile home. Standard renters policies don’t come with earthquake coverage, but you can add an earthquake endorsement to your insurance policy.
Is CEA the only earthquake insurance in California?
No. While the California Earthquake Authority provides most earthquake insurance in California, it isn’t the only earthquake insurance provider in the state. Homeowners can’t purchase coverage directly through the CEA. Instead, they can purchase coverage from private insurers that are members of the CEA.4
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