CHICAGO – During Central U.S. Earthquake Awareness Month in February, the American Property Casualty Insurance Association (APCIA) urges earthquake preparedness for residents and communities, which includes considering earthquake insurance coverage and taking steps to mitigate your property against potential earthquake damage.
“Earthquake damage is not covered under a standard homeowners policy and must be purchased as a separate policy,” said Karen Collins, vice president, property & environmental for APCIA. “Earthquakes are one of the most unpredictable natural catastrophes. You could be faced with thousands of dollars in damage if an earthquake strikes and you do not have the right insurance coverage.”
The Central U.S. is noted to be a region at high risk for earthquakes, which occur frequently though are often low in magnitude. However, in 1811-1812 the New Madrid Seismic Zone experienced a series of very large earthquakes estimated to be between magnitude 7 and 8, devastating the region. The United States Geological Survey estimates there is a 25 to 40 percent chance of a magnitude 6.0 or greater earthquake in the next 50 years in the New Madrid Seismic Zone, which threatens parts of eight states including Illinois, Indiana, Missouri, Arkansas, Kentucky, Tennessee, Oklahoma, and Mississippi.
“Even in the most earthquake prone states, relatively few people have earthquake coverage, which creates a major gap in insurance coverage for many homeowners and businesses and leaves people vulnerable to financial disaster,” continued Collins. “Consumers should talk to their insurer to understand their risk and determine whether or not earthquake coverage makes sense for them. Additionally, property owners should consider making their home more resilient to earthquakes to help mitigate potential damage.”
Earthquake retrofits may include foundation bolting, cripple wall bracing, or reinforcing chimneys and masonry walls to help prevent displacement from a structure’s foundation and reduce damage.
APCIA recommends consumers take steps to protect their family and property before an earthquake strikes, including:
Talk to your insurer about purchasing a separate policy or an endorsement to ensure you are covered in the event of earthquake damage.
Take the time to make a home inventory and document your belongings.
Strengthen your property and mitigate against potential damage by securing movable items and protecting against gas fires or explosions.
Hold regular drills with loved ones and practice “Drop, Cover and Hold On.”
Have a disaster plan.
Additional APCIA Resources
Things to Consider When Buying Earthquake Insurance
Prepare Before an Earthquake
The American Property Casualty Insurance Association (APCIA) is the primary national trade association for home, auto, and business insurers. APCIA promotes and protects the viability of private competition for the benefit of consumers and insurers, with a legacy dating back 150 years. APCIA members represent all sizes, structures, and regions—protecting families, communities, and businesses in the U.S. and across the globe.