Earthquake Insurance In Missouri
When you think of earthquakes, and earthquake insurance, most people don’t immediately think of the St. Louis area. The last earthquake to hit the St. Louis area was 2.6 magnitude on September 5, 2015, and occurred along the New Madrid Fault Line, which runs through southeastern Missouri. So, do you need earthquake insurance in Missouri?
Generally, you can still endorse earthquake insurance onto most property policies, but it is getting harder and harder to do so. Some companies have canceled all earthquake insurance on new and renewal policies. Some are allowing customers who currently have earthquake coverage to keep their earthquake coverage but these companies will not allow any new policies to obtain the coverage. Other companies are reacting by raising their earthquake deductibles and raising their rates.
Is There Any Way That You Can Buy An Earthquake Policy On Its Own?
Yes. We currently represent an A- rated, admitted insurance carrier.
You can buy a stand-alone earthquake policy by using excess surplus lines companies. In order to understand this method, you have to know the difference between “admitted” and “non-admitted” companies.
Admitted companies are insurance companies that are admitted under an individual state’s insurance laws.
An admitted insurance company must conform to the rules and regulations of the particular state’s Department of Insurance.
Admitted carriers also must submit their rates to the state for approval.
The benefit of working with an admitted company is that the state is obligated to pay an insurance company’s claim even in the event of the insolvency of the company. (We like that safety net.)
Non-admitted carriers may be perceived as riskier than admitted carriers. But this might not always be the case. Because they do not have to submit their rates to the state they have greater pricing flexibility so they can set rates high enough to cover higher risk events.
If you have any earthquake insurance questions, we are here to help. Please call us at 314-842-0960 or fill out our form below.
St. Louis Earthquake Insurance FAQs
How Much Is Earthquake Insurance In St. Louis?
Earthquake coverage averages $153 a year in St. Louis County, $161 in St. Louis.
Is Earthquake Insurance Necessary In Missouri?
Surprisingly, most people don't have and earthquake insurance on their current homeowners policies. In Missouri, earthquake insurance is normally affordable but most decide this coverage isn't necessary, but we say think again.
Is It Worth It To Have Earthquake Insurance?
While earthquake insurance can be great to have if your home is seriously damaged and the damage exceeds your deductible, the high premiums and deductibles that come with earthquake coverage can make the balance between what you pay and what you get uneven.
Is St Louis On A Fault Line?
St. Louis, well over 100 miles from the fault system, is still susceptible to danger because earthquakes in the Eastern U.S. travel greater distances than their counterparts out west, thanks to the prevailing rock types in each region.
What Is Covered By Earthquake Insurance?
Earthquake insurance covers damage to your home, personal belongings and additional living expenses if you need to temporarily live somewhere else after an earthquake.