Earthquake Insurance Cost: Average Rates & What Drives Them

Standard homeowners, renters, and condo policies generally exclude earthquake damage. Coverage is sold as a separate policy or as an endorsement added to an existing one, and in California a large share of it is written through the state-created California Earthquake Authority and other insurers.

Earthquake insurance is hard to summarize with one number. Premiums depend on how close the property is to active faults, the soil beneath it, the age and construction of the building, and the deductible. Published averages come from different kinds of sources and should be read as rough guides.

The headline figure above is from an insurer's own consumer guide, not from a government or regulator dataset. It is useful as a ballpark, but it does not describe any particular state. If you want a figure for your area, look at quote samples for a specific city, which is what the next section shows.

The table collects published figures for several places. The ranges come from different samples, such as quotes gathered for particular homes in each city or an insurer's description of a California house, so the rows are not a strict like-for-like comparison.

The Los Angeles row spans a very wide range for a small home. That spread reflects how much a quote can change with the structure, the deductible, and the coverage limits the sample asked for. The renter row shows that contents-only coverage can be priced far below a policy on a house.

Insurers commonly describe earthquake premiums as a rate per 1,000 dollars of coverage, which makes a larger or more expensive house cost more. Premium also varies with the building. Older homes, brick or masonry, and homes with raised foundations or cripple walls can rate higher, while a retrofit may qualify for a discount with some insurers. Ask your agent whether a retrofit credit is offered.

Earthquake deductibles are usually a percentage of the dwelling limit, not a flat amount. A higher percentage lowers the premium but raises what you would pay out of pocket after a loss. Because the percentage applies to the dwelling limit, a larger house means a larger dollar deductible. Ask the agent to show the dollar amount that your chosen percentage would represent.

• The coverage limits for the dwelling, contents, and loss of use
• The construction year, materials, and any seismic retrofit
• The soil type and distance to known faults
• Whether the policy is a standalone policy or an endorsement
• The insurer, since each uses its own risk model

Coverage details also differ. Fire that follows an earthquake is usually handled under the homeowners policy, and earthquake policies may limit coverage for detached structures, so read the exclusions.

Two published estimates sit on different bases. Lemonade gives a single national average, while Kiplinger describes the quote range a buyer might see for a 300,000 dollar coverage amount. A national average blends high-risk and low-risk regions, and a quote range depends on the home. Neither measures the same thing, so the gap between them does not show that one is wrong.