How does earthquake insurance work?
You can purchase an endorsement to a homeowners, renters or business policy or as a separate policy to cover your losses from earthquakes and aftershocks. Since different building materials react differently to earth movement (brick vs. wood, for example), premiums vary by the type of construction of the building. Earthquake insurance deductibles are considerably higher than standard deductibles. Usually they are determined by a percentage of the buildings value, generally from 5 percent to 40 percent.
