The state has revealed a plan in the attempt to broaden tremor coverage among its property owners.
Many experts feel that the next big tremor is well overdue and yet the vast majority of homeowners in San Diego County do not have the necessary California earthquake insurance to protect them in case it should actually hit.
It is estimated that 85 percent of homes in that region do not have the right coverage for a quake.
This week, the state’s commissioner, Dave Jones, joined others in the industry in order to make an announcement about the situation regarding California earthquake insurance and the steps that can be taken by homeowners in the state. Also present were Glenn Pomeroy, the CEO of the California Earthquake Authority (CEA), as well as the Automobile Club of Southern California’s CEO, Robert Bouttier. They made the announcement regarding the first ever discount to homeowners insurance in the state for residents.
The California earthquake insurance discount is specific to those who obtain the purchase in a certain way.
To benefit from this discount the coverage must be purchased from the CEA through the Automobile Club of Southern California, where the announcement was made. Those who take advantage of this opportunity will experience a reduction of up to 7 percent on their homeowners insurance policies. Despite the recent announcement, the rule actually went into effect at the start of the year.
The discount is available to members of the auto club who cover their properties through its affiliated insurer and who have also renewed or purchased an earthquake policy through CEA. The CEA is the organization that provides this type of coverage to the majority of covered residents in the state.
According to Commissioner Jones at this California earthquake insurance event, “Efforts such as this first-of-its kind discount are important incentives to encourage more homeowners to protect themselves against the potential for devastating loss.” He added that within his state, people shouldn’t be thinking about “if” a big quake is going to hit. Instead, they should be looking to “when” it will happen. He said that when living within region that is prone to quakes, it is vital to take the right steps to protect oneself against loss and damage to the largest assets a person has.