The master policy excludes earthquake. Start a quote in minutes and a licensed California broker shops the markets that actually write it.
Commercial earthquake and DIC
Commercial earthquake
Earthquake DIC, habitational
CA earthquake program via Steadfast
HOA and condo property, earthquake DIC
Wholesale CA earthquake, to $15M per risk
Commercial earthquake catastrophe
Commercial earthquake program
A few questions about your business or home.
We compare carriers and read the forms line by line.
We explain what is covered, what is not, and what it costs.
A typical association master policy covers fire and the other perils it lists and leaves earthquake out. Until that gap is either covered by insurance or formally declined, it stays with the board, and owners, buyers and lenders are increasingly asking which one it is.
The issue at hand is the master policy exclusion: damage caused by earthquakes to the buildings the association is required to rebuild. Coverage is provided through a separate earthquake policy on the association's buildings, with its own limit and a percentage deductible that in this market typically runs from 2 to 20 percent.
California does not require associations to purchase earthquake insurance, but the board is accountable for the decision at budget meetings and in disclosure packets. Once there is a documented quote on the association's actual buildings, that conversation becomes a documented decision, whether the board binds the coverage or declines it.
The information an underwriter requires to quote is year built, construction type, the number of buildings and units, and building values at full replacement cost. The most frequent issue that stalls a submission is values placed below replacement cost, so the broker checks them before any data goes to a market.
There is no flat rate for this coverage. These are the inputs a carrier prices against, and they are the same things the quote form asks you for.
Structural or cosmetic damage to the structures the association has a responsibility to restore, which is precisely the exposure the master policy excludes.
The building shakes, the fire sprinklers set off, and the water causes the damage. The dedicated earthquake form picks this up in addition to the seismic event itself.
With no earthquake coverage, members of the association pay for the repair through a special assessment vote. The policy is what stands between that bill and the membership.
Any rebuilding after a loss must be built back to present day code, and none feel that requirement harder than older habitational buildings.
The longer answers, with the form numbers, live in the Library.
Almost never. The basic association master policy excludes earthquake damage, which is why HOA earthquake insurance is purchased as a separate placement with its own limit and percentage deductible.
No law requires an association to purchase it. The board assesses the exposure, and a documented quote supports the decision either way, in budget meetings and in disclosure packets.
The policy form commercial earthquake coverage is typically written on. A DIC policy sits alongside the master policy and covers the perils the standard forms exclude, earthquake most commonly, often with earthquake sprinkler leakage and optional flood on the same form.
Year built, construction type, the number of buildings and units, and building values at replacement cost. A licensed broker reviews each value before anything is submitted, since undervalued buildings are one of the most frequent reasons a submission stalls.
Earthquake policies in the California market use a percentage deductible, ranging from 2 to 20 percent of the insured values. The board picks the point on that scale that fits its reserves, and the quote prices the options side by side.
The association still owes the rebuild its governing documents assign to it, so damage from the quake usually comes back to the owners as a special assessment, with each owner paying a share of the repair costs. A real quote turns that scenario into a number the board can act on before the first tremor.
No. A unit owner covers interior improvements, contents and earthquake loss assessment through a personal earthquake policy purchased alongside the HO 6, and that loss assessment coverage works best when the association carries a master earthquake policy above it. Call the number provided above and a licensed broker will route it properly.
Start a quote and a licensed broker takes it from there, or talk to one now.
