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When a Homeowners Policy Isn't Enough

February 27, 2015

Even long-time policyholders can stumble when it comes to knowing exactly what is included in their homeowners policy—and what's not. Many don't know that coverage for earthquake damage is a separate policy. Or the earthquake risk they face in their community.

Without coverage, they will be left with the full costs of repair and replacement. There is no government guarantee of recovery grants or loans.

That's where you come in, a CEA-trained agent, as their trusted advisor. You can:

  • Point out the risks.
  • Discuss their ability to pay for the full cost of damages.
  • Review CEA's flexible products and affordable deductibles.
  • Explain CEA coverage will protect their home and belongings when an earthquake strikes.


Even the damage from a moderate earthquake can run into the millions. The South Napa Earthquake of 2014— with a magnitude 6.0 and 99 aftershocks—caused $250 million in residential and commercial damage.

The Napa quake resulted in:

  • 103 structures RED tagged (too dangerous to enter for fear of collapse)
  • 500 structures YELLOW tagged (too dangerous to live in)
  • 800 structures damaged.

Only 6 percent of Napa homes were covered by earthquake insurance when the ground started shaking.

Today CEA earthquake insurance has never been more affordable.

As you review your clients' coverages at renewal, take a look at CEA's Homeowners Choice policy. In the event of minor or moderate earthquake CEA's Homeowners Choice policy may be the better fit with lower deductibles.

Homeowners Choice lets homeowners choose what coverages, deductibles and premiums that fit their needs and budgets. For a reasonable price, they can design a plan that protects all they have worked for.

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