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Home > Insurance Policies > Homeowners > Homeowners Coverages & Deductibles

CEA Homeowners Policy Coverages & Deductibles

You might be surprised to discover how flexible and budget-friendly earthquake insurance can be. CEA offers a variety of coverage choices and deductible options for your house. 

CEA’s rates are based on science, not profit. We use the best available science and research to set competitive earthquake insurance rates. 

Use the CEA premium calculator to get a free insurance cost estimate. Then, contact your residential insurer, who will help you purchase your policy.

Coverage options for homeowners

Our earthquake insurance for homeowners allows you to choose between two policies: purchase all of your coverages together under one deductible, or choose to have separate deductibles for your dwelling and personal property. With many coverage limits and deductibles to choose from, you’ll find a policy to fit your needs and budget. 

Coverages Standard Homeowners Homeowners Choice Additional Information
Home (dwelling)

Included

Included

Covers earthquake damage to your home and structures attached to it, like your garage.  

Coverage Limits

Same as your homeowners insurance policy

Same as your homeowners insurance policy  Your home is covered up to the Dwelling’s insured value on your homeowners insurance policy. For example, if your home insurance value is $200,000, your earthquake insurance coverage will be the same amount.  

Deductible

5%-25% 5%-25%

Deductible options are 5%, 10%, 15%, 20% and 25% of your Dwelling (Home) coverage.

Claim-payment example:

  • If your Dwelling is insured for $500,000, and 
  • You have purchased a 5% ($25,000) deductible, and
  • An earthquake causes $80,000 in covered damage, then 
  • Your claim payment would be $55,000 (your covered loss, less your deductible, up to the limit purchased). 
Personal Property Included

Optional 

Covers damage to your belongings, like TVs and furniture.

Coverage Limits

Up to $200,00

Up to $200,00

Available in limits of $5,000, $25,000, $50,000, $75,000, $100,000, $150,000 or $200,000.

Deductible

Included under your Dwelling deductible

5%-25%

The Homeowners Choice policy offers deductibles of 5%-25%. This deductible is separate from the dwelling deductible, which may allow you to receive a personal property claim payment even if you don’t meet the dwelling deductible. And, if the dwelling deductible is met, the personal property deductible is waived.

Homeowners Choice claim-payment example:

  • If your dwelling is insured for $500,000 with a 10% deductible ($50,000), and
  • You have personal property covered for $75,000 with a 5% deductible ($3,750), and
  • An earthquake causes damage to the dwelling that is less than the dwelling deductible, but $50,000 in personal property damage, then
  • Although your dwelling deductible is not met, your separate personal property deductible allows you to receive $46,250!
    • This payment is the difference between the covered damage to personal property ($50,000), less the deductible ($3,750).
Loss of Use Included

Optional

Covers additional living expenses if you need to live and eat elsewhere because earthquake damage or a civil authority prevents you from residing in your home. If your dwelling is held for rent, loss of use (fair rental value) is covered.

Coverage Limits

Up to $100,000 Up to $100,000 Available in limits of $1,500, $10,000, $15,000, $25,000, $50,000, $75,000 and $100,000.
Deductible None None

There is never a deductible for Loss of Use.

Building Code Upgrade

Included Included Local authorities often require that rebuilding or significant repair work be performed in a manner consistent with current building codes (not the codes that were in effect when the property was built). This coverage helps pay expenses associated with code-compliant rebuilding or repairs.

Coverage Limits

$10,000 included, $20,000 and $30,000 optional

$10,000 included, $20,000 and $30,000 optional

All homeowners policies include $10,000 in building code upgrade coverage. You can also choose to raise the coverage to $20,000 or $30,000.

Deductible

Paid after the dwelling deductible is met

Paid after the dwelling deductible is met

Once your covered damage exceeds the Dwelling deductible, you could be eligible for payment for Building Code Upgrades, up to your chosen limit.

Emergency Repairs

Included

Included

Covers earthquake-damage repairs that are needed to protect your house or personal property from further damage (examples: repair broken windows or remove broken glass).

Coverage Limits

Up to 5% of homeowners and Personal Property limit

Up to 5% of homeowners and Personal Property limit

For example, if your house is insured for $200,000 and an earthquake strikes causing $80,000 in damage, you have up to 5 percent ($10,000) in Emergency Repairs coverage to make your house safe to live in.

Deductible

First $1,500 has no deductible

First $1,500 has no deductible

Emergency Repairs provide coverage up to 5 percent of dwelling and 5 percent of the personal property limit. The first $1,500 is not subject to the deductible.

Breakables

Optional

Optional

Within policy terms, covers glassware, crystal, china, ceramic, pottery, porcelain, or marble items that are broken because of an earthquake.

Exterior Masonry Veneer

Optional Optional

Exterior Masonry Veneer is an optional coverage for certain exterior veneers. “Masonry” and “veneer” refer to a nonstructural facing of brick, concrete, stone, tile, or similar material, attached to a backing as ornamentation. Stucco and exterior chimney facings are not considered exterior masonry veneers. It applies to your dwelling coverage and is subject to the dwelling deductible. 

We encourage you to read your entire CEA policy—and its policy declarations page—to understand your coverages and how they work. Exclusions and special limits apply. All terms and conditions of CEA insurance coverage are found in the CEA insurance-policy form. Refer to a sample policy, below.

Homeowners Choice Policy Sample (PDF)
Standard Homeowners Policy Sample (PDF)
Optional Endorsement - Coverage For Breakables (PDF)
Optional Endorsement - Coverage For Exterior Masonry Veneer (PDF)

Homeowners Policy Coverages & Deductibles FAQs

We've gathered some frequently asked questions from homeowners to help you understand how a CEA policy can help you recover from the next damaging earthquake.
Q. Do I need to retrofit my house before I can buy a CEA policy?
A. You do not need to retrofit your house to before buying a CEA policy. However, depending on the year your house was built, a retrofit can make it stronger and more resistant to earthquake damage, and qualify you for a CEA premium discount
Q. Am I eligible for a retrofit discount?
A. If your home was built before 1979, you may qualify for up to a 20% premium discount with a retrofit verification.
Q. How does CEA’s deductible work? Do I have to pay the deductible before receiving a payment?
A. You do not pay your deductible out-of-pocket. The deductible is subtracted from your covered damage so you don’t have to pay any of the deductible up front to receive a claim payment. 
Q. Will CEA pay for any expenses if I have to move out of my home because of earthquake damage?
A. If you purchased Loss of Use coverage, you are eligible for the additional living expenses necessary to maintain your normal standard of living, up to the coverage limit you selected. Remember that Loss of Use coverage never has a deductible!
Q. Who handles CEA applications, renewals, and claims?
A. CEA participating residential insurance companies process all policy applications, renewals, payments and claims.
Q. Is my home at risk from an earthquake?
A. There are thousands of known faults in California, and scientists continue to discover new ones. Since earthquakes can happen anywhere in California, damage to your home and personal property is always possible. Check to see earthquake risk near you and take steps to get prepared!
Q. Where can I get an earthquake insurance policy cost estimate?

Calculate Your Earthquake Insurance Premium

801 K Street, Suite 1000
Sacramento, CA 95814

Phone: (916) 325-3800
Toll Free: (877) 797-4300

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