[Pooh]

I've lived in the Bay Area for 20 years and never purchased earthquake insurance for my home. I heard rates were going down, and AAA quoted me a rate of nearly $1200 for earthquake coverage- there is 75,000 deductible, and they will cover up to $525,000 to rebuild. What is the consensus on this issue?

[Ray]

it would pro bally be a dang good idea just in case because you never know what will happen around the corner!!

[FairlyErica]

no, I also live in Cali. I'm just 2 hours south of you. We were hit with the San Simion Quake on Dec 22, 2003. The people who had the insurance had to fight hard to get paid. You are better off getting government help after a quake than your are dealing with insurance. After the quake here there were government agencies accessing all damages and helping people and business get rebuilt with grants and also loans with very low interest. Also, look what happened to the people in New Orleans after the hurricane.

[TIKEDO]

I strongly recommend earthquake insurance. The chances of a major earthquake may be small, but the risks to your finances are huge. Should your home be badly damaged, your home value will go down, meaning you will not have home equity to draw on to pay to repairing or rebuilding. Your regular homeowners insurance will not pay for earthquake damage to the structure or belongings due to shaking (but will pay for fire damage and water damage from burst pipes). In California, limited dwelling protection is available through "mini-policies" backed the California Earthquake Authority (CEA), a governmental agency. These will pay for damage to your home, but not non-essential structures such as swimming pools.