{ "$schema": "https://bestinsuranceresearch.com/llms-full.txt", "recordType": "question", "id": "homeowners-earthquake-california", "canonicalUrl": "https://bestinsuranceresearch.com/questions/homeowners-earthquake-california", "contentVersion": "2026.08.31", "generatedFor": "2026-09-06", "operator": { "legalName": "WJB Services, Inc.", "dba": "Bollinsure Insurance Services", "license": "6013787", "licenseAuthority": "California Department of Insurance" }, "license": "Text on this page may be quoted with attribution and a link to the canonical URL.", "notice": "Public page facts only. This record contains no visitor question, no tool input, and no identifier. It is not a coverage determination, an eligibility decision, or individualized advice.", "question": "Does homeowners insurance cover earthquake damage in California?", "aliases": [ "Do I need separate earthquake insurance in California?", "Is earthquake damage covered by my California homeowners policy?", "Why is earthquake excluded from my California home insurance?", "Does my home insurance pay if an earthquake damages my house in CA?" ], "directAnswer": "Generally no, and California law says so in the statute itself: section 10083(a) prescribes the wording insurers must use for the mandatory earthquake offer, in at least 10-point boldface type, and that prescribed text begins 'Your residential property insurance policy does not cover earthquake damage to your home or its contents'. The California Department of Insurance tells consumers the same thing: 'Your homeowner's insurance does not cover earthquake damage'. In filed forms this normally works as an exclusion rather than as silence; the California FAIR Plan's dwelling property form CFP 00 01 (05/2026) excludes 'Earth Movement, meaning earthquake,' with an ensuing-loss carve-out for fire and explosion, but that is one published form and wording varies, so the exclusion that governs is the one in your own form. CDI states that California law requires both homeowners and renter's insurance to cover fire damage caused by or following an earthquake, whether or not you bought earthquake insurance. To reach shake damage you need an earthquake endorsement or a separate earthquake policy, which section 10081 requires be offered to the named insured as a condition of issuing or delivering a residential property policy, and, for policies already in effect when chapter 8.5 took effect, on initial renewal. The offer does not have to come first: section 10083(a) allows it to be made 'prior to, concurrent with, or within 60 days following the issuance or renewal of a residential property insurance policy,' and section 10083(b) adds an every-other-year re-offer if you do not accept. CDI says most of that coverage in California comes from the California Earthquake Authority, a state-created entity, sold only through participating insurers.", "assumes": [ "You are asking how California residential property forms and California statute are written, not how a specific claim on a specific policy should be decided. Coverage on a real claim is decided by the insurer under the actual policy, and disputes over it are legal questions.", "The damage in question is physical damage from ground shaking, not fire, flood, tsunami, or a pre-existing condition.", "No earthquake endorsement and no separate earthquake policy is already in force, unless stated otherwise.", "The only two policy forms quoted here are the California FAIR Plan dwelling property form CFP 00 01 (05/2026) and CEA form BEQ-3B (01-2026 edition). Neither is a private carrier's filed homeowners form, and your own policy may read differently.", "The statutes and forms cited are the versions published as of 2026-08-31. California statute and filed forms both change over time." ], "whatChangesTheAnswer": [ "Whether an earthquake endorsement or a separate earthquake policy was actually in force on the date of loss. Section 10081 requires only that the coverage be offered, and it may sit in the residential policy by provision or endorsement or in a separate policy or certificate.", "Which peril the insurer determines caused the damage: shake, ensuing fire, water or tsunami, or earth movement. The two forms quoted here route each of those to a different clause.", "Whether your residential insurer is a CEA participating insurer. CDI states that a CEA policy must be bought from the same company that writes your residential property policy.", "Whether the companion fire policy from the same participating insurer stayed in force. Form BEQ-3B (01-2026 edition) states that if no companion policy is in effect at the time of loss, the CEA policy is void and no payment will be made under it.", "Whether you accepted or declined the offer, which is what triggers the every-other-year re-offer duty in section 10083(b).", "Timing on seismically induced earth movement. Form BEQ-3B (01-2026 edition) requires the loss to manifest within one year after the earthquake that caused it." ], "variability": [ "This answer is California-specific. The mandatory offer, the 60-day offer window, and the every-other-year re-offer duty come from California Insurance Code chapter 8.5 and do not apply outside California.", "Form language varies, and only two published California forms are quoted here: the FAIR Plan dwelling property form CFP 00 01 (05/2026) and CEA form BEQ-3B (01-2026 edition). Neither is a private carrier's filed homeowners form, so an exclusion in one form should not be read as universal.", "Both forms quoted here were refiled in 2026, and both publishers revise forms periodically. Re-pull the quoted language from the then-current edition before relying on it.", "Availability is an underwriting question, not a statutory one. Section 10082(b) provides that nothing in the chapter requires an insurer to issue a residential property policy except in accordance with the insurer's usual underwriting standards.", "By CEA's own undated account it writes two-thirds of the residential earthquake policies sold in California, so earthquake coverage written by a non-CEA insurer can carry limits, deductibles, and exclusions different from the CEA form described here." ], "nextActions": [ "Pull your declarations page and look for an earthquake endorsement or a separate earthquake policy number, then ask your insurer or agent in writing to confirm what is in force. Do not settle the question from the declarations page alone.", "Ask your insurer or agent for the earthquake offer. Section 10083(a) prescribes its language and gives it fill-in items for the dwelling or building limit, the deductible, the contents limit, the additional living expenses limit, and the estimated annual premium, and CDI says the offer must be in writing and that the 30-day period runs from the mailing date.", "Read the LOSSES EXCLUDED section of any earthquake policy you are offered before you buy it, and check specifically how it treats fire, water and tsunami, land, and seismically induced earth movement.", "Model the deductible before deciding. On the CEA homeowners form the deductible is a percentage of the combined single limit for Coverage A and Coverage B shown on the declarations, and CEA publishes options of 5, 10, 15, 20, and 25 percent with the two lowest restricted by dwelling limit and construction. CDI directs consumers to CEA's premium calculator.", "If you already have damage, notify your residential insurer and any earthquake insurer and let each decide coverage under its own policy. CDI gives its Consumer Assistance Hotline as 1-800-927-4357 and says you may file a Request for Assistance against an insurer or an agent or broker by mail or online." ], "confidence": "established", "reviewState": "under-review", "classification": { "family": "personal", "lines": [ "homeowners", "earthquake" ], "states": [ "CA" ], "audience": "individual", "topics": [ "earthquake-coverage", "earth-movement-exclusion", "california-earthquake-authority", "mandatory-offer", "fire-following-earthquake" ] }, "effectiveDate": "2026-08-31", "lastReviewed": "2026-08-31", "author": "Aaron Bollinger", "reviewer": "Brian Bollinger", "sourceIds": [ "ca-ins-code-10081", "ca-ins-code-10082", "ca-ins-code-10083", "ca-ins-code-10089", "ca-ins-code-10089-point-6", "cdi-earthquake-guide-925", "cea-beq3b-homeowners-policy-form", "cea-homeowners-coverages-deductibles", "cfp-dwelling-property-policy-form", "cfp-earthquake-page", "cea-history" ], "sources": [ { "id": "ca-ins-code-10081", "title": "California Insurance Code section 10081 (mandatory offer of earthquake coverage)", "publisher": "California Legislative Information (official)", "url": "https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=INS§ionNum=10081", "sourceType": "statute", "jurisdiction": "CA", "authorityLevel": "primary-law", "primary": true, "publishedDate": "unknown", "effectiveDate": "unknown", "accessedDate": "2026-08-31", "lastChecked": "2026-08-31", "updateCadence": "amended only by legislation; re-check leginfo annually", "status": "active", "supportsClaims": [ "No policy of residential property insurance may be issued or delivered or, with respect to policies in effect on the effective date of this chapter, initially renewed in this state by any insurer unless the named insured is offered coverage for loss or damage caused by the peril of earthquake as provided in this chapter.", "The earthquake coverage may be provided in the residential property policy itself by specific policy provision or endorsement, or in a separate policy or certificate of insurance covering earthquake alone or in combination with other perils.", "The section was added by Stats. 1984, Ch. 916, Sec. 1.", "Section 10081 reads: 'No policy of residential property insurance may be issued or delivered or, with respect to policies in effect on the effective date of this chapter, initially renewed in this state by any insurer unless the named insured is offered coverage for loss or damage caused by the peril of earthquake as provided in this chapter.'", "Section 10081 continues: 'That coverage may be provided in the policy of residential property insurance itself, either by specific policy provision or endorsement, or in a separate policy or certificate of insurance which specifically provides coverage for loss or damage caused by the peril of earthquake alone or in combination with other perils.'", "The section sits in CHAPTER 8.5. Earthquake Insurance [10081 - 10089.4], added by Stats. 1984, Ch. 916, Sec. 1.", "The 'initially renewed' clause in Section 10081 is qualified by the phrase 'with respect to policies in effect on the effective date of this chapter'; Section 10081 does not by its own terms impose an offer duty at every renewal.", "California Insurance Code section 10081 provides that no policy of residential property insurance may be issued or delivered or, with respect to policies in effect on the effective date of the chapter, initially renewed in the state by any insurer unless the named insured is offered coverage for loss or damage caused by the peril of earthquake as provided in the chapter.", "Section 10081 allows the earthquake offer to be satisfied by a provision or endorsement within the residential property insurance policy, or by a separate policy or certificate covering the peril of earthquake alone or together with other perils." ] }, { "id": "ca-ins-code-10082", "title": "California Insurance Code Section 10082 (content of the earthquake offer; underwriting standards)", "publisher": "California Legislative Information (Legislative Counsel of California)", "url": "https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=INS§ionNum=10082", "sourceType": "statute", "jurisdiction": "CA", "authorityLevel": "primary-law", "primary": true, "publishedDate": "unknown", "effectiveDate": "n/a", "accessedDate": "2026-08-31", "lastChecked": "2026-08-31", "updateCadence": "Amended only by act of the California Legislature.", "status": "active", "supportsClaims": [ "Section 10082(a) reads: 'The offer required by Section 10081 shall include coverage against risk of loss or damage from the peril of earthquake, in accordance with the minimum coverages required by subdivisions (a) and (b) of Section 10089.'", "Section 10082(b) reads: 'The earthquake coverage shall be in accordance with the insurer's rules and rating plan, provided, however, that nothing contained in this chapter shall require an insurer to issue a policy of residential property insurance except in accordance with the insurer's usual underwriting standards. However, those standards shall not permit an insurer to provide a policy of residential property insurance unless the offer of coverage required by this chapter is made.'", "The section carries the note 'Amended by Stats. 1996, Ch. 124, Sec. 77. Effective January 1, 1997.'", "Section 10082 contains no offer-timing language; the 60-day window is in Section 10083(a)." ] }, { "id": "ca-ins-code-10083", "title": "California Insurance Code Section 10083 (timing and prescribed language of the earthquake offer; every-other-year re-offer)", "publisher": "California Legislative Information (official)", "url": "https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=INS§ionNum=10083", "sourceType": "statute", "jurisdiction": "CA", "authorityLevel": "primary-law", "primary": true, "publishedDate": "unknown", "effectiveDate": "unknown", "accessedDate": "2026-08-31", "lastChecked": "2026-08-31", "updateCadence": "amended only by legislation; re-check leginfo annually", "status": "active", "supportsClaims": [ "The offer of earthquake coverage may be made prior to, concurrent with, or within 60 days following the issuance or renewal of a residential property insurance policy.", "If the offer is not accepted, the insurer must offer earthquake coverage on an every other year basis in connection with any continuation, renewal, reinstatement, or policy that extends or replaces the residential property insurance policy.", "The prescribed offer includes the statement that if the insured does not accept the offer of earthquake insurance within 30 days of the mailing of the notice, the insurance company shall presume that the insured has not accepted the offer.", "The prescribed disclosures must be set in at least 10-point boldface type.", "The prescribed disclosure states that the residential property insurance policy does not cover earthquake damage to the home or its contents.", "The prescribed disclosure states that the deductible represents the amount of damage the covered property must incur before the earthquake insurance coverage begins.", "The section became operative on January 1, 2019.", "Section 10083(a) reads: 'The offer of coverage required by Section 10081 may be made prior to, concurrent with, or within 60 days following the issuance or renewal of a residential property insurance policy.'", "Section 10083(a) continues: 'If the offer of coverage is mailed to the named insured or applicant, it shall be mailed to the mailing address shown on the policy of residential property insurance or on the application.'", "Section 10083(a)(1) and (a)(2) prescribe the offer language for nonparticipating insurers and for participating insurers respectively, each requiring that the offer 'shall contain all of the following language in at least 10-point boldface type', and the prescribed language begins: 'Your residential property insurance policy does not cover earthquake damage to your home or its contents.'", "The prescribed offer language includes fill-in items labeled '(A) Amount of Dwelling/Building Coverage Limit', '(B) Deductible', '(C) Contents Coverage Limit', '(D) Additional Living Expenses Coverage Limit', and '(E) Estimated Annual Premium'.", "The prescribed offer language states: 'If you do not accept the offer of earthquake insurance below within 30 days of the mailing of this notice, your insurance company shall presume that you have not accepted this offer of earthquake insurance.'", "Section 10083(b) reads: 'If the offer of earthquake coverage made pursuant to Section 10081 is not accepted, the insurer or any affiliated insurer shall be required on an every other year basis to offer earthquake coverage in connection with any continuation, renewal, or reinstatement of the policy following any lapse thereof, or with respect to any other policy that extends, changes, supersedes, or replaces the policy of residential property insurance.'", "Section 10083(g) reads: 'This section shall become operative on January 1, 2019.' The section note reads 'Amended (as amended by Stats. 2014, Ch. 427, Sec. 2.5) by Stats. 2016, Ch. 549, Sec. 2. (AB 499) Effective January 1, 2017. Section operative January 1, 2019, by its own provisions.'" ] }, { "id": "ca-ins-code-10089", "title": "California Insurance Code Section 10089 (minimum coverages in the mandatory earthquake offer)", "publisher": "California Legislative Information (Legislative Counsel of California)", "url": "https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=INS§ionNum=10089", "sourceType": "statute", "jurisdiction": "CA", "authorityLevel": "primary-law", "primary": true, "publishedDate": "unknown", "effectiveDate": "unknown", "accessedDate": "2026-08-31", "lastChecked": "2026-08-31", "updateCadence": "Amended only by act of the California Legislature.", "status": "active", "supportsClaims": [ "Section 10089(a)(1) requires the offer to include dwelling coverage 'not including outbuildings, appurtenant structures, swimming pools, masonry fences and walls not necessary for the structural integrity of the dwelling, walkways and patios not necessary for regular ingress or egress from the dwelling, awnings or other patio coverings, decorative or artistic features including plaster if other covering would be more cost-effective, landscaping, or masonry chimneys, provided that the policy covers replacement of a damaged masonry chimney with a nonmasonry, earthquake resistant chimney.'", "Section 10089(a)(2) requires 'contents coverage either in an amount not less than 10 percent of the amount of the covered dwelling loss, or in an amount not less than five thousand dollars ($5,000)', and provides that the insurer elects which of the two contents coverages it will use at the time it files its rate application, after which the elected option must be offered to every policyholder who receives an offer under the chapter.", "Section 10089(a)(3) requires 'additional living expenses of an amount no less than one thousand five hundred dollars ($1,500) to cover expenses while the residential dwelling remains uninhabitable due to physical loss or damage from the peril of earthquake.'", "Section 10089(b), a separate subdivision from the (a) minimums, reads: 'Coverages provided in paragraphs (1) and (2) of subdivision (a) shall not contain a deductible of more than 15 percent of coverage provided for the dwelling.'", "Section 10089(c) permits the commissioner to approve rate applications allowing an insurer to offer coverage other than the coverage specified in the section, provided at least one coverage offered meets the section's criteria.", "Section 10089(d) permits the minimum additional living expenses coverage to be waived by the applicant or policyholder for a residential dwelling that is not owner occupied, if the insurer gives notice that the coverage is offered but may be waived and the waiver is in writing.", "The section carries the note 'Amended by Stats. 1995, Ch. 939, Sec. 4. Effective January 1, 1996.'" ] }, { "id": "ca-ins-code-10089-point-6", "title": "California Insurance Code Section 10089.6 (creation of the California Earthquake Authority)", "publisher": "California Legislative Information (California Legislature)", "url": "https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=INS§ionNum=10089.6", "sourceType": "statute", "jurisdiction": "CA", "authorityLevel": "primary-law", "primary": true, "publishedDate": "unknown", "effectiveDate": "n/a", "accessedDate": "2026-08-31", "lastChecked": "2026-08-31", "updateCadence": "Changes only by legislative amendment.", "status": "active", "supportsClaims": [ "Section 10089.6(a)(1) provides that there is hereby created the California Earthquake Authority, which shall be administered and governed by the governing board described in Section 10089.7 under the authority of the commissioner, and overseen by the California Catastrophe Response Council solely with regard to administrative or support services the authority may provide to or for the benefit of the Wildfire Fund or the Wildfire Fund Administrator, with all other businesses or activities of the authority governed solely by the board.", "Section 10089.6(a)(1) provides that the authority shall be authorized to transact insurance in this state as necessary to sell policies of basic residential earthquake insurance in the manner set forth in Sections 10089.26, 10089.27, and 10089.28, and that the authority shall have no authority to transact any other type of insurance business.", "Section 10089.6(b)(2) provides that the rights, obligations, and duties owed by the authority to its insureds, beneficiaries of insureds, and applicants for insurance shall be the same as those owed by insurers under common law, regulations, and statutes, and that the authority shall be liable to them as an insurer is liable.", "Section 10089.6(a)(1) begins: 'There is hereby created the California Earthquake Authority, which shall be administered and governed by the governing board described in Section 10089.7 under the authority of the commissioner and overseen by the California Catastrophe Response Council solely with regard to any administrative or support services the authority may provide to, or for the benefit of, the Wildfire Fund'. The sentence does not end at the word 'commissioner'.", "Section 10089.6(a)(1) further provides that all other businesses or activities of the authority unrelated to the Wildfire Fund shall be governed solely by the board, and that the authority shall have the powers conferred by the chapter.", "The section sits in CHAPTER 8.6. California Earthquake Authority [10089.5 - 10089.55], added by Stats. 1995, Ch. 944, Sec. 2.", "This section establishes that the California Earthquake Authority exists and is state-created; it says nothing about CEA's market share." ] }, { "id": "cdi-earthquake-guide-925", "title": "Earthquake Insurance (consumer information guide, Form 925, October 2024)", "publisher": "California Department of Insurance", "url": "https://www.insurance.ca.gov/01-consumers/105-type/95-guides/03-res/upload/Earthquake-Insurance-Updated-102924.pdf", "sourceType": "regulator-guidance", "jurisdiction": "CA", "authorityLevel": "regulator", "primary": true, "publishedDate": "unknown", "effectiveDate": "n/a", "accessedDate": "2026-08-31", "lastChecked": "2026-08-31", "updateCadence": "Reissued periodically by CDI; this edition is marked Form 925 - October 2024.", "status": "active", "supportsClaims": [ "The guide states: 'Generally, homeowners, renters and condominium insurance policies do not cover damage from natural disasters such as earthquakes, floods, and landslides.'", "The guide states: 'Your homeowner's insurance does not cover earthquake damage.'", "The guide states: 'California law says that both homeowners and renter's insurance must cover fire damage that is caused by or follows an earthquake. This means that fire damage is covered, whether or not you have earthquake insurance.'", "The guide states that if you have homeowner's insurance in California your company must offer to sell you earthquake insurance every other year, that 'The offer must be in writing. It must tell you the amounts it covers (the limits), the deductible, and the premium.', and that 'You have 30 days to accept the offer. The 30-day period starts the date the company mails the offer to you. If you do not reply, you are rejecting the offer.'", "The guide states: 'The California Earthquake Authority (CEA) provides most earthquake insurance in California.', 'You cannot purchase earthquake insurance directly from CEA. It is sold by insurance companies that are members of CEA (also known as Participating Insurers).', and 'You must purchase a CEA policy from the same insurance company that you have your residential policy with.'", "The guide describes three main parts of the basic CEA earthquake coverage: Dwelling (Coverage A), Personal Property (Coverage C), and Additional Living Expenses (Coverage D).", "Under the heading 'What Earthquake Insurance Does Not Cover' the guide states 'All insurance policies have exclusions.' and lists as 'Some common earthquake insurance exclusions': Fire, Land, Vehicles, Flood. The list is presented by CDI as examples, not as a complete list.", "The guide states that with CEA insurance older homes may qualify for a discount of up to 20 percent if they have been properly retrofitted, and directs consumers to 'Use the Premium Calculator at www.earthquakeauthority.com to estimate your premium.'", "The guide gives the CDI Consumer Assistance Hotline as 1-800-927-4357 and states that consumers may file a Request for Assistance against the insurer or the agent/broker by mail or online.", "The footer reads 'Form 925 - October 2024'. The guide contains no statement about earthquake deductibles being a percentage of any limit, and no statement about tsunami or about obtaining flood coverage." ] }, { "id": "cea-beq3b-homeowners-policy-form", "title": "Basic Earthquake Policy - Homeowners, Form BEQ-3B (01-2026 edition), sample policy", "publisher": "California Earthquake Authority", "url": "https://www.earthquakeauthority.com/sites/default/files/documents/2025/basic-earthquake-policy-homeowners-beq3b-01-2026.pdf", "sourceType": "policy-form", "jurisdiction": "CA", "authorityLevel": "carrier-official", "primary": true, "publishedDate": "unknown", "effectiveDate": "unknown", "accessedDate": "2026-08-31", "lastChecked": "2026-08-31", "updateCadence": "CEA refiles its policy forms periodically; this edition is designated 01-2026 and supersedes the 01-2019 sample previously published.", "status": "active", "supportsClaims": [ "Every page carries the form line 'BEQ-3B (01-2026 edition)'; the sample runs 26 pages. A notice page states 'THE LANGUAGE OF THIS POLICY HAS BEEN APPROVED BY THE CALIFORNIA INSURANCE COMMISSIONER'.", "The AGREEMENT states: 'This policy is issued by the California Earthquake Authority (CEA), a public instrumentality of the State of California established and authorized by law to transact insurance in California as necessary to sell policies of basic residential earthquake insurance.'", "Definition 12 defines 'Earthquake' as 'a vibration-generating rupture event caused by displacement within the earth's crust through release of strain associated with tectonic processes and includes effects such as ground shaking, liquefaction, and damaging amplification of ground motion', and ends 'Earthquake does not mean or include tsunami or volcanic eruption.'", "Definition 11 states: 'Dwelling does not include land, whether or not beneath the residential structure or mobile home, even if required for support.'", "LOSSES EXCLUDED Item 1 excludes 'Fire or explosion.'", "LOSSES EXCLUDED Item 2 excludes water damage including 'Flood, precipitation (including but not limited to rain, snow, hail, or sleet), or surface water; waves, tsunami, or tidal water; rupture of a dam, levee, berm, or sea wall; overflow of a natural or man-made body of water; or spray from any of these' and water below the surface of the ground, subject to write-backs for earthquake-caused release of water from water heaters, refrigerators, or water supply pipes within the dwelling; displacement of water from an aquarium, drinking water container or dispenser, swimming pool, decorative pool, spa, or hot tub; release of water from municipal or other water supply lines or of water or sewage from sewers or drains; and precipitation entering a building through an opening in a roof or wall that is the direct result of earthquake damage.", "LOSSES EXCLUDED Item 5 excludes 'Earth movement, settling of land, land sliding, subsidence, mudflows, or earth sinking, rising or shifting' unless it 'is induced by, and would not have occurred in the absence of, an earthquake that commences during the policy period as part of a seismic event that commences during the policy period' and 'causes loss that manifests within one year after the earthquake that caused the loss.'", "Property Not Covered under Coverage A and Coverage B, Items 1 and 2, excludes 'Land, including land underlying the dwelling' and the cost of land stabilization, stabilization structures, and associated engineering, in each case except as provided under OTHER COVERAGES Item 3, 'Land'. OTHER COVERAGES Item 3 pays up to $10,000, as a sublimit of the combined single limit for Coverage A and Coverage B, to restore or stabilize land necessary to support the dwelling where stabilization is necessary for habitability.", "IMPORTANT NOTICES Item 2, Companion Policy Requirement, states that during the entire policy period the insured must keep in force a companion policy providing fire insurance for the same property, issued by the same participating insurer, and that 'if no companion policy is in effect at the time of loss, this CEA policy is void and no payment will be made under this CEA policy.' The AGREEMENT Item 5 states the same requirement.", "The DEDUCTIBLE CLAUSE states: 'The deductible amount is a percentage of the combined single limit of insurance for COVERAGE A: DWELLING and COVERAGE B: EXTENSIONS TO DWELLING.' Coverage D Loss of Use is not subject to a deductible, nor is the first $1,500 of coverage under OTHER COVERAGES Item 1, Emergency Repairs, and the deductible amount does not reduce any limit of insurance stated on the declarations.", "IMPORTANT NOTICES Item 3 states that the policy does not have a 'guaranteed replacement cost' or 'extended replacement cost' feature and that the combined single limit for Coverage A and Coverage B is not modified by any such feature in the homeowners or other companion policy." ] }, { "id": "cea-homeowners-coverages-deductibles", "title": "Homeowners Coverages and Deductibles (CEA homeowners policy)", "publisher": "California Earthquake Authority", "url": "https://www.earthquakeauthority.com/california-earthquake-insurance-policies/homeowners/coverages-and-deductibles", "sourceType": "official-documentation", "jurisdiction": "CA", "authorityLevel": "carrier-official", "primary": true, "publishedDate": "unknown", "effectiveDate": "unknown", "accessedDate": "2026-08-31", "lastChecked": "2026-08-31", "updateCadence": "changes with CEA rate and form filings; verify limit and deductible options each review cycle", "status": "active", "supportsClaims": [ "CEA offers a Standard Homeowners policy under which all coverages fall under one deductible, and a Homeowners Choice policy that provides separate deductibles for dwelling and for personal property and allows the purchase of dwelling coverage only.", "The deductible options are 5, 10, 15, 20, or 25 percent of the Coverage A and B limit.", "The 5 percent and 10 percent deductible options are not available for homes with a Coverage A dwelling limit greater than $1,000,000, or for dwellings with frame construction built before 1980 that are not on a slab foundation and do not have a verified retrofit.", "CEA Coverage A and B must be the same as the residential homeowners policy's Coverage A dwelling limit.", "Coverage C personal property available limits are $5,000 or $25,000, with $500 included for damage to some breakable personal property.", "Coverage D loss of use available limits are $1,500, $10,000, $15,000, $25,000, $50,000, $75,000, and $100,000, and loss of use carries no deductible under either policy type.", "Building code upgrade coverage is $10,000 with purchasable options of $20,000 or $30,000, and is paid once the covered dwelling damage exceeds the Coverage A and B deductible.", "There is no deductible on the first $1,500 of emergency repairs coverage, and amounts exceeding $1,500 require meeting the Coverage A and B or Coverage C deductible.", "CEA states that exclusions and special limits apply and that all terms and conditions of CEA insurance coverage are found in the CEA insurance-policy form.", "CEA lists the deductible choices for its homeowners policy as 5, 10, 15, 20, or 25 percent, expressed as a percentage of the Coverage A and B limit.", "The page states: 'The 5% and 10% deductible options are not available for homes with Coverage A dwelling limit greater than $1,000,000, or dwellings with frame construction built before 1980 that are not on a slab foundation and do not have a verified retrofit.'" ] }, { "id": "cfp-dwelling-property-policy-form", "title": "Sample Dwelling Property Policy, Form CFP 00 01 (05/2026)", "publisher": "California FAIR Plan Association", "url": "https://www.cfpnet.com/wp-content/uploads/2026/01/Dwelling-Fire-Policy_effective-3-17-26.pdf", "sourceType": "policy-form", "jurisdiction": "CA", "authorityLevel": "carrier-official", "primary": true, "publishedDate": "unknown", "effectiveDate": "unknown", "accessedDate": "2026-08-31", "lastChecked": "2026-08-31", "updateCadence": "The FAIR Plan revises and refiles its forms periodically; this edition is designated 05/2026 and is published on the FAIR Plan site as the dwelling fire policy effective 3-17-26.", "status": "active", "supportsClaims": [ "The document is headed 'SAMPLE DWELLING PROPERTY POLICY' under the California FAIR Plan Association masthead, runs 17 pages, and every page footer reads 'CFP 00 01 (05/2026) Includes copyrighted material of Insurance Services Office, Inc., with its permission.'", "General Exclusion 2 reads: 'Earth Movement, meaning earthquake, including land shock waves or tremors before, during or after a volcanic eruption; landslide; mine subsidence; mudflow; earth sinking, rising or shifting; unless direct loss by: a. fire; or b. explosion; ensues and then we will pay only for the ensuing loss.'", "General Exclusion 3 reads: 'Water Damage, meaning: a. flood, surface water, waves, tidal water, overflow of a body of water, or spray from any of these, whether or not driven by wind; b. water which backs up through sewers or drains or which overflows from a sump; or c. water below the surface of the ground, including water which exerts pressure on or seeps or leaks through a building, sidewalk, driveway, foundation, swimming pool or other structure.' It then states: 'Direct loss by fire or explosion resulting from water damage is covered.'", "Peril Insured Against 9 reads: 'Volcanic Eruption other than loss caused by earthquake, land shock waves or tremors.'", "This is a dwelling fire form published by the California FAIR Plan Association, not a homeowners form and not a private carrier's filed homeowners form." ] }, { "id": "cfp-earthquake-page", "title": "Earthquake (California FAIR Plan policies page)", "publisher": "California FAIR Plan Association", "url": "https://www.cfpnet.com/policies/earthquake/", "sourceType": "official-documentation", "jurisdiction": "CA", "authorityLevel": "carrier-official", "primary": true, "publishedDate": "unknown", "effectiveDate": "n/a", "accessedDate": "2026-08-31", "lastChecked": "2026-08-31", "updateCadence": "Updated by the FAIR Plan as its product offerings change.", "status": "active", "supportsClaims": [ "The page states: 'The California FAIR Plan offers earthquake coverage through the California Earthquake Authority (CEA) as a separate policy for customers with a California FAIR Plan Dwelling Fire policy.'", "The page states: 'A stand-alone earthquake policy written by the California FAIR Plan is not available. You must have an in-force California FAIR Plan policy to qualify for CEA coverage through the California FAIR Plan.'" ] }, { "id": "cea-history", "title": "California Earthquake Authority's Story - Building Earthquake Resilience", "publisher": "California Earthquake Authority", "url": "https://www.earthquakeauthority.com/about-cea/cea-history", "sourceType": "official-documentation", "jurisdiction": "CA", "authorityLevel": "carrier-official", "primary": true, "publishedDate": "unknown", "effectiveDate": "n/a", "accessedDate": "2026-08-31", "lastChecked": "2026-08-31", "updateCadence": "Updated occasionally by CEA communications.", "status": "active", "supportsClaims": [ "CEA describes itself on this page as a not-for-profit, publicly managed, privately funded entity.", "The page states that in 1996 the California Legislature created the California Earthquake Authority.", "The page describes the January 17, 1994 magnitude 6.7 Northridge earthquake as the background to CEA's creation.", "CEA states: 'On January 17, 1994, a magnitude 6.7 earthquake known as the Northridge earthquake rocked California's San Fernando Valley'.", "CEA states that 'the earthquake caused an estimated $20 billion in residential damages alone' and that 'only half of that was covered by insurance'.", "CEA states: 'In 1996, the California Legislature went one step further and created the California Earthquake Authority (CEA)'.", "CEA describes itself as 'a not-for-profit, publicly managed, privately funded entity'.", "CEA states: 'Today, CEA provides two-thirds of the residential earthquake insurance policies sold in California'. The page gives no as-of date and no methodology for that figure.", "The California Legislature created the California Earthquake Authority in 1996, following the January 17, 1994 magnitude 6.7 Northridge earthquake.", "CEA describes itself as a not-for-profit, publicly managed, privately funded entity, and states that it sells its policies exclusively through participating insurance companies.", "CEA states that today it provides two-thirds of the residential earthquake insurance policies sold in California." ] } ], "relatedQuestions": [ { "id": "landlord-policy-vs-homeowners", "url": "https://bestinsuranceresearch.com/questions/landlord-policy-vs-homeowners" }, { "id": "replacement-cost-vs-market-value", "url": "https://bestinsuranceresearch.com/questions/replacement-cost-vs-market-value" }, { "id": "same-limit-different-protection", "url": "https://bestinsuranceresearch.com/questions/same-limit-different-protection" } ] }