Earthquake's A Certainty, But Recovery Is Not
http://www.iinc.org/articles/245/1/Earthquakes-A-Certainty-But-Recovery-Is-Not/Page1.html
Published on 04/15/2008
A catastrophic earthquake is a near certainty in coming years, but few Californians have earthquake insurance to help them recover.
According to a new study released by earthquake scientists Monday, the chance of a 6.7 magnitude temblor -- the size of the 1994 Northridge quake -- during the next 30 years is 97 percent in southern California and 93 percent in Northern California. The chance of a 7.5 quake -- which shakes at 16 times the intensity of a 6.7 quake -- is 37 percent in southern counties and 15 percent in the north.
Millions of California Homeowners Uninsured for Quake Damage
A catastrophic earthquake is a near certainty in coming years, but few Californians have earthquake insurance to help them recover.
According to a new study released by earthquake scientists Monday, the chance of a 6.7 magnitude temblor -- the size of the 1994 Northridge quake -- during the next 30 years is 97 percent in Southern California and 93 percent in Northern California. The chance of a 7.5 quake -- which shakes at 16 times the intensity of a 6.7 quake -- is 37 percent in southern counties and 15 percent in the north.
A recent study by Bay Area estimating firm Risk Management Solutions calculated that shaking from a 6.8 magnitude earthquake along the Hayward Fault would result in $165 billion in property losses.
Experts estimate that roughly 12 percent of California homeowners have purchased earthquake insurance policies, leaving millions of Californians financially unprotected in the event of a catastrophic quake -- a figure that may prove catastrophic in its own right, said Candysse Miller, executive director of the Insurance Information Network of California.
“With a catastrophic earthquake a near certainty in the next few decades, far too few homeowners have a financial recovery plan in place,” Miller said. “The result could be billions of dollars in uninsured damage to homes and small businesses.”
Polling commissioned by IINC last year found that 19 percent of California homeowners believe they have earthquake insurance. This may indicate confusion over homeowner insurance coverage. Earthquake damage is not covered under a standard homeowner insurance policy and must be purchased separately.
“With scientists certain that a catastrophic quake will hit our state in the next 30 years, it means that millions of people currently have no means for financial recovery from the possible – even likely – damage to their homes,” Miller said.
A 2006 IINC poll also found that less than half of Californians consider themselves prepared for an earthquake.
IINC is non-profit, non-lobbying insurance communications association dedicated to helping the public understand insurance and risk management issues. For more information on this and other related subjects, visit www.iinc.org.
Additional Resources
The Earthquake Page
A catastrophic earthquake is a near certainty in coming years, but few Californians have earthquake insurance to help them recover.According to a new study released by earthquake scientists Monday, the chance of a 6.7 magnitude temblor -- the size of the 1994 Northridge quake -- during the next 30 years is 97 percent in southern California and 93 percent in Northern California. The chance of a 7.5 quake -- which shakes at 16 times the intensity of a 6.7 quake -- is 37 percent in southern counties and 15 percent in the north.
Earthquake's A Certainty, But Recovery Is Not
Millions of California Homeowners Uninsured for Quake DamageA catastrophic earthquake is a near certainty in coming years, but few Californians have earthquake insurance to help them recover.
According to a new study released by earthquake scientists Monday, the chance of a 6.7 magnitude temblor -- the size of the 1994 Northridge quake -- during the next 30 years is 97 percent in Southern California and 93 percent in Northern California. The chance of a 7.5 quake -- which shakes at 16 times the intensity of a 6.7 quake -- is 37 percent in southern counties and 15 percent in the north.
A recent study by Bay Area estimating firm Risk Management Solutions calculated that shaking from a 6.8 magnitude earthquake along the Hayward Fault would result in $165 billion in property losses.
Experts estimate that roughly 12 percent of California homeowners have purchased earthquake insurance policies, leaving millions of Californians financially unprotected in the event of a catastrophic quake -- a figure that may prove catastrophic in its own right, said Candysse Miller, executive director of the Insurance Information Network of California.
“With a catastrophic earthquake a near certainty in the next few decades, far too few homeowners have a financial recovery plan in place,” Miller said. “The result could be billions of dollars in uninsured damage to homes and small businesses.”
Polling commissioned by IINC last year found that 19 percent of California homeowners believe they have earthquake insurance. This may indicate confusion over homeowner insurance coverage. Earthquake damage is not covered under a standard homeowner insurance policy and must be purchased separately.
“With scientists certain that a catastrophic quake will hit our state in the next 30 years, it means that millions of people currently have no means for financial recovery from the possible – even likely – damage to their homes,” Miller said.
A 2006 IINC poll also found that less than half of Californians consider themselves prepared for an earthquake.
IINC is non-profit, non-lobbying insurance communications association dedicated to helping the public understand insurance and risk management issues. For more information on this and other related subjects, visit www.iinc.org.
Additional Resources
The Earthquake Page