Residential earthquake insurance (California)

Who or what it is designed to protect

• Owners of homes with an in-force residential property policy at a CEA member insurer, since CDI states that a residential property policy must be in place to get a CEA earthquake policy [1]

• The dwelling, at a CEA Coverage A and B limit that CEA states must be the same as the residential homeowners policy's Coverage A dwelling limit [6][1]

• Personal property, at the limit selected from the published options [6][1]

• The household's temporary and extra costs to live somewhere else, through additional living expenses coverage [1][6]

• The owner facing code-required upgrades when rebuilding, through building code upgrade coverage [6][7]

• Condominium unit owners facing an association assessment for covered earthquake damage, through CEA condo unit loss assessment coverage of up to $100,000 [1]

What it commonly covers

• Earthquake damage to the dwelling (Coverage A and B). CDI states that the limit on the earthquake insurance is the same as the limit on the homeowners insurance dwelling coverage, and CEA states that CEA Coverage A and B must be the same as the residential homeowners policy's Coverage A dwelling limit [1][6]. The reproduced California regulation sets the same relationship, equal to the stated Coverage A limit of the underlying residential property insurance policy [7]. Form caveat: this describes the CEA insurance-policy form, which the cited CEA page identifies by name but not by policy form number or edition, and CEA states that exclusions and special limits apply and that all terms and conditions are found in that form [6]. Read your own policy.

• Personal property (Coverage C). CEA publishes two available limits, $5,000 or $25,000, with $500 included for damage to some breakable personal property, and CDI states the limit starts at $5,000 and can be increased to $25,000 [6][1]. The reproduced regulation sets a floor of no less than $5,000 [7]. Form caveat: this describes the CEA insurance-policy form, identified by CEA by name only with no policy form number or edition on the cited page; CEA states that exclusions and special limits apply and that all terms and conditions are found in that form [6]. Read your own policy.

• Loss of use / additional living expenses (Coverage D). CDI describes CEA additional living expenses as covering temporary and extra costs to live somewhere else, with limits ranging from $1,500 to $100,000 and no deductible under CEA [1]. CEA publishes the discrete options $1,500, $10,000, $15,000, $25,000, $50,000, $75,000, and $100,000, with no deductible under either the Standard Homeowners or Homeowners Choice policy [6]. The reproduced regulation sets a floor of no less than $1,500 with no deductible [7]. Form caveat: this describes the CEA insurance-policy form, with no policy form number or edition given on the cited page; the trigger and duration are set by that form. Read your own policy.

• Building code upgrade. CEA publishes building code upgrade coverage of $10,000 with purchasable options of $20,000 or $30,000, paid once the covered dwelling damage exceeds the Coverage A and B deductible, and CDI states the coverage is now available up to $30,000 [6][1]. The reproduced regulation sets a floor of no less than $10,000, subject to the Coverage A deductible [7]. Form caveat: this describes the CEA insurance-policy form, not identified by number or edition on the cited page. Whether a particular code-required upgrade falls inside the coverage is decided by the insurer under that form and the applicable local code requirement, not by this page. Read your own policy.

• Emergency repairs. CEA states there is no deductible on the first $1,500 of emergency repairs coverage and that amounts exceeding $1,500 require meeting the Coverage A and B or Coverage C deductible, and CDI states that CEA homeowners policies include the first $1,500 for emergency repairs with no deductible [6][1]. Form caveat: this describes the CEA insurance-policy form, with no policy form number or edition on the cited page, and what qualifies as an emergency repair is set by that form. Read your own policy.

• Loss assessment for condominium unit owners. CDI states that CEA condo unit policies provide up to $100,000 for the unit owner's share of certain assessments if the association imposes an assessment for covered damage caused by an earthquake [1]. Form caveat: this describes the CEA condominium unit policy form, which the cited page does not identify by number or edition, and which assessments qualify is set by that form. Read your own policy.

• Fire damage caused by or following an earthquake, under the residential property policy (California requirement). CDI states that California law says both homeowners and renters insurance must cover fire damage that is caused by or follows an earthquake, and separately that homeowners, renters, and condominium policies do not cover earthquake damage [1]. Those are two distinct coverage grants sitting in two different contracts. Form caveat: CDI describes a California legal requirement rather than the wording of any named form or edition, and no source in this cluster allocates a loss involving both shake damage and fire between the two contracts. That allocation is decided by the insurers under the forms actually in place and the facts of the claim. Read your own policy.

What it commonly excludes or limits

• Landscaping. CDI states that, as with most earthquake policies, CEA insurance does not cover landscaping, pools, fences, masonry, or separate buildings [1]. Form caveat: this describes CEA coverage as CDI summarizes it; CEA states that exclusions and special limits apply and that all terms and conditions are found in the CEA insurance-policy form, which the cited page does not identify by number or edition [6]. No source in this cluster describes how non-CEA or stand-alone earthquake forms treat these items, so nothing is asserted about them. Read your own policy.

• Swimming pools. CDI's statement of what CEA insurance does not cover includes pools [1]. Form caveat: CEA states that exclusions and special limits apply and that all terms and conditions are found in the CEA insurance-policy form, identified by name only on the cited page [6]. Read your own policy.

• Fences and masonry. CDI's statement of what CEA insurance does not cover includes fences and masonry [1]. Form caveat: CEA states that exclusions and special limits apply and that all terms and conditions are found in the CEA insurance-policy form, which the cited page does not identify by number or edition [6]. How a particular chimney or veneer element is classified is decided by the insurer under that form, not by this page. Read your own policy.

• Separate buildings. CDI's statement of what CEA insurance does not cover includes separate buildings [1]. Form caveat: neither the CDI page nor the CEA page cited here describes how attached structures such as a garage are treated, so nothing is asserted on that point; CEA states that all terms and conditions are found in the CEA insurance-policy form, which is not identified by number or edition on the cited page [6]. Read your own policy.

• Loss that does not exceed the applicable percentage deductible. The disclosure language prescribed by Insurance Code section 10083 states that the deductible represents the amount of damage the covered property must incur before earthquake insurance coverage begins [4]. Form caveat: how the deductible applies depends on which CEA policy structure is in force, since CEA states that all coverages fall under one deductible on the Standard Homeowners policy while the Homeowners Choice policy provides separate deductibles for dwelling and for personal property [6]. The CEA insurance-policy form, not identified by number or edition on the cited page, sets the mechanics. Read your own policy.

• Flood, landslide, and other non-earthquake perils. CDI states that homeowners, renters, and condominium insurance policies do not cover damage from natural disasters such as earthquakes, floods, and landslides, and that those perils need separate coverage [1][2]. FEMA states that most homeowners insurance does not cover flood damage and that NFIP coverage is available where the community participates in the NFIP's floodplain management requirements [10]. Form caveat: these are regulator and program descriptions rather than the wording of a named form or edition. Whether earth movement occurring around an earthquake falls inside an earthquake policy's grant is decided by the insurer under the issued form and the facts of the claim. Read your own policy.

Limits, deductibles, and conditions

• The CEA deductible is expressed as a percentage rather than a flat dollar amount. CEA publishes options of 5, 10, 15, 20, or 25 percent of the Coverage A and B limit, and CDI lists the same five percentages [6][1].

• CEA states that 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 [6]. CDI states the same two exceptions in its own words, describing a home valued at over $1 million dollars and a home built before 1980 on a raised or other non-slab type foundation that is not verified to have been seismically retrofitted, and states that in both cases the lowest available deductible will be 15 percent [1].

• 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 [6]. Loss of use carries no deductible under either structure [6].

• The dwelling limit is not selected independently of the homeowners policy. CDI states that the limit on the earthquake insurance is the same as the limit on the homeowners insurance dwelling coverage, CEA states that CEA Coverage A and B must be the same as the residential homeowners policy's Coverage A dwelling limit, and the reproduced regulation sets the Coverage A limit equal to the stated Coverage A limit of the underlying residential property insurance policy [1][6][7].

• Personal property is offered at two published limits, $5,000 or $25,000, with $500 included for damage to some breakable personal property; the reproduced regulation sets a floor of no less than $5,000 [6][7][1].

• Loss of use is offered at the published limits $1,500, $10,000, $15,000, $25,000, $50,000, $75,000, and $100,000, with no deductible; the reproduced regulation sets a floor of no less than $1,500 with no deductible [6][7].

• Emergency repairs carry no deductible on the first $1,500, and amounts exceeding $1,500 require meeting the Coverage A and B or Coverage C deductible [6].

• Building code upgrade coverage is $10,000 with purchasable options of $20,000 or $30,000, paid once the covered dwelling damage exceeds the Coverage A and B deductible; the reproduced regulation sets a floor of no less than $10,000 subject to the Coverage A deductible, and CDI states the coverage is now available up to $30,000 [6][7][1].

• The written offer of earthquake coverage must state the limits, the deductible, and the premium [1], and Insurance Code section 10083 prescribes disclosure language, in at least 10-point boldface type, stating that the residential property insurance policy does not cover earthquake damage to the home or its contents and explaining the deductible [4].

Endorsements and connected policies

• Higher building code upgrade limit. CEA publishes optional building code upgrade limits of $20,000 or $30,000 above the $10,000 base [6][1]. Form caveat: these are CEA's published options as of the 2026-08-31 fetch, and CEA states that all terms and conditions are found in the CEA insurance-policy form, which the cited page does not identify by number or edition. Availability at any given renewal follows CEA's current filings. Read your own policy.

• Higher personal property or loss of use limit. CEA publishes personal property limits of $5,000 or $25,000 and loss of use limits of $1,500, $10,000, $15,000, $25,000, $50,000, $75,000, and $100,000 [6]. Form caveat: these are limit selections rather than added coverage grants; CEA states that exclusions and special limits apply and that all terms and conditions are found in the CEA insurance-policy form, identified by name only on the cited page. Read your own policy.

• Deductible selection. CEA publishes deductible options of 5, 10, 15, 20, or 25 percent of the Coverage A and B limit, with the 5 and 10 percent options unavailable 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 [6]. CDI states that in both those cases the lowest available deductible will be 15 percent [1]. Form caveat: whether a specific dwelling meets those conditions is determined by the insurer and CEA, not by this page. Read your own policy.

• Earthquake coverage written into the residential policy. Insurance Code section 10081 provides that earthquake coverage may be provided in the residential property policy itself by specific policy provision or endorsement, rather than in a separate policy or certificate [3]. Form caveat: the statute permits the structure; whether a given insurer offers it, and on what terms, comes from that insurer's filed forms, none of which are named or dated in this cluster. Read your own policy.

• Stand-alone earthquake policy from a non-CEA company. CDI states that a few companies offer stand-alone policies that are not CEA policies and that can be bought without buying homeowners insurance from the same company [1]. Form caveat: CDI makes no comparative statement about how those forms are structured or what they cover, and no source in this cluster describes their coverage, exclusions, or deductible mechanics, so none is asserted. Read your own policy.

Commonly written alongside: The underlying residential property policy, which CDI states must be in place to obtain a CEA earthquake policy, purchased from the same company that carries the residential policy [1], Flood insurance, since CDI treats earthquake and flood as separate perils needing separate coverage and FEMA states NFIP coverage is available where the community participates [1][10], A California FAIR Plan Dwelling Fire Policy, which the FAIR Plan describes as a named peril policy and suggests supplementing with Difference in Conditions, Flood, or Earthquake policies [8], Renter's insurance, which New York DFS describes in coverage parts including personal property, loss of use, personal liability, and medical payments to others, and which in California is within the earthquake chapter's definition of a policy of residential property insurance when it insures the personal contents of a residential unit located in the state [9][5], A landlord or rental dwelling policy where the residence is rented rather than owner-occupied.

What actually goes wrong on this line

Exposures, as distinct from what the policy protects. This is the question an underwriter is asking, and the one to answer before judging a limit.

• Shake damage to the dwelling

  The regulator's earthquake guide describes what earthquake policies address and what they do not [1]. Shake damage is the core grant; the exclusions around it are where the reading matters.

• A percentage deductible whose dollar value is set by another policy's limit

  The program's published deductible options are expressed as percentages of the Coverage A and B limit, and that limit must match the residential policy's dwelling limit [6]. The retention therefore moves when the homeowners limit moves.

• Land, which the policy does not cover

  The regulator's guide states that earthquake policies do not cover damage to the land itself [1]. Stabilisation of the ground under a structure is a different problem from the structure.

• Water entering from outside, including tsunami

  The guide describes earthquake policies as excluding water damage from outside the home such as flood or tsunami [1], and flood is written under the separate federal program [10].

• Fire following the earthquake, which the residential policy addresses

  The guide states that California law requires homeowners and renters insurance to cover fire damage caused by or following an earthquake, whether or not separate earthquake coverage is held [1]. That places two perils on two policies.

• An offer that lapses unanswered

  The statutory offer provides that if it is not accepted within the stated period the insurer may presume it was not accepted, and requires a further offer on a stated cycle [4][3].

What reduces the frequency or the severity

Things a reader can do, each tied to a published source. None of these is a promise about price: whether an insurer credits any of them is an underwriting decision and is not stated here.

• Convert the percentage deductible into a dollar figure and write it down

  The deductible options are percentages of the Coverage A and B limit, which must equal the residential policy's dwelling limit [6]. The arithmetic is the reader's to do from their own two declarations pages, and it changes whenever the homeowners limit does.

• Record the date of any earthquake offer notice

  The offer carries a stated response window and a presumption if it passes unanswered [4]. The date on the notice is the only thing that makes the window measurable.

• Read which product is in force, because the number of deductibles differs

  The program publishes a policy under which all coverages fall under one deductible and another providing separate deductibles [6]. A worst-case figure depends on which one is held.

• Establish separately whether flood applies

  Water entering from outside is described by the guide as outside these policies [1], and flood is written under the federal program with its own eligibility and waiting period [10].

• Read the regulation on coverage types and limits rather than a summary

  The regulation addresses earthquake policy coverage types and limits [7], and it is the published text behind the product descriptions.

Information an underwriter commonly requests

This is what is usually asked, not a legal requirement and not a promise that supplying it produces an offer.

• Whether an in-force residential property policy exists with a CEA member insurer, which CDI states is a condition of CEA coverage, and whether the earthquake policy would be written by that same company [1]
• The Coverage A dwelling limit on the underlying residential policy, since CEA states CEA Coverage A and B must be the same as that limit [6][1]
• Whether the Coverage A dwelling limit is greater than $1,000,000, which CEA states removes the 5 and 10 percent deductible options [6]
• Year built, and whether the dwelling is of frame construction built before 1980, since CEA ties the 5 and 10 percent deductible restriction to frame construction built before 1980 [6]
• Foundation type, specifically whether the dwelling is on a slab foundation, which CEA identifies as part of the same deductible restriction and which CDI describes as a raised or other non-slab type foundation [6][1]
• Whether a verified seismic retrofit exists, which CEA and CDI both identify as part of that deductible test [6][1]
• Whether the risk is a house or a condominium unit, since CDI describes a separate CEA condo unit policy with loss assessment coverage [1]
• The selected deductible percentage, personal property limit, loss of use limit, and building code upgrade limit from CEA's published options [6]

State variations

• CA. California requires an offer, not a purchase. 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 that chapter, initially renewed unless the named insured is offered earthquake coverage as provided in that chapter [3]. Section 10083 provides that the offer may be made prior to, concurrent with, or within 60 days following issuance or renewal, and that a declined offer must be repeated on an every other year basis in connection with any continuation, renewal, reinstatement, or replacing policy [4]. CDI states the every-other-year requirement in consumer terms [1].

• CA. Section 10083 prescribes 10-point boldface disclosure language stating that if the insured does not accept the offer within 30 days of the mailing of the notice, the company will presume the offer was not accepted [4]. CDI states that the insured has 30 days to accept, that the period starts the date the company mails the offer, and that not replying means rejecting the offer [1].

• CA. As used in the earthquake chapter, a policy of residential property insurance means a policy insuring individually owned residential structures of not more than four dwelling units, individually owned condominium units, or individually owned mobilehomes, and their contents, located in the state and used exclusively for residential purposes, or a tenant's policy insuring personal contents of a residential unit located in the state [5]. That definition also carries carve-outs, including for property used for commercial, industrial, or business purposes other than a structure of not more than four dwelling units rented for individual residential purposes, and for policies that do not provide the perils of a standard fire policy [5]. The definition is scoped to that chapter and is not used on this site as a general residential-versus-commercial dividing line; whether a particular policy falls inside it is a legal question for a lawyer.

• CA. CDI states that earthquake insurance cannot be bought directly from CEA, that it is bought from insurance companies that are members of CEA, that a residential property insurance policy must be in place to get a CEA earthquake policy, and that the CEA policy must be purchased from the same company that carries the residential policy [1]. Minimum coverage types and limits for the basic residential earthquake policy are set by California regulation; the text relied on here is Cornell LII's unofficial reproduction of 10 CCR section 2697.6 and should be confirmed against the official California Code of Regulations [7].

• CA. CDI states that California law says both homeowners and renters insurance must cover fire damage that is caused by or follows an earthquake, while homeowners, renters, and condominium policies do not cover earthquake damage itself [1].

• US. This page describes the California framework only. No source in this cluster describes earthquake coverage rules, forms, or deductible structures in any other state, so none are described here. The rules of the state where the property is located govern.

Source ledger

10 sources. Every citation number above resolves to a record below. Nothing here sits behind an account.

1. [1]

   Earthquake Insurance (information guide, text version)(opens the original record on California Department of Insurance)

   California Department of InsuranceRegulatorPrimaryJurisdiction CALast checked August 31, 2026Updates: CDI revises this guide periodically and CEA limit and deductible options change by filing; re-verify each review cycleID cdi-earthquake-insurance-guide

   What this source supports (14)

   • If you have homeowners insurance in California, your company must offer to sell you earthquake insurance, and it must offer this every other year.
   • The offer must be in writing and must tell you the amounts it covers (the limits), the deductible, and the premium.
   • You have 30 days to accept the offer, the 30-day period starts the date the company mails the offer to you, and if you do not reply you are rejecting the offer.
   • Homeowners, renters, and condominium insurance policies do not cover damage from natural disasters such as earthquakes, floods, and landslides.
   • California law says that both homeowners and renters insurance must cover fire damage that is caused by or follows an earthquake.
   • You cannot buy earthquake insurance directly from CEA; you buy it from insurance companies that are members of CEA, you must have a residential property insurance policy in place in order to get a CEA earthquake policy, and you must purchase the CEA policy from the same insurance company that carries your residential policy.
   • CEA offers deductibles of 5 percent, 10 percent, 15 percent, 20 percent, and 25 percent, with two exceptions: if a home is valued at over $1 million dollars, and/or if the home was built before 1980 on a raised or other non-slab type foundation and is not verified to have been seismically retrofitted. In both these cases the lowest available deductible will be 15 percent.
   • For CEA Coverage A dwelling coverage, the limit on your earthquake insurance is the same as the limit on your homeowners insurance dwelling coverage.
   • For CEA Coverage C personal property, the limit starts at $5,000 and you can increase the limit to $25,000.
   • For CEA Coverage D additional living expenses, the limits range from $1,500 to $100,000, and this coverage never has a deductible under CEA.
   • CEA condo unit policies provide up to $100,000 for the unit owner's share of certain assessments if the association imposes an assessment for covered damage caused by an earthquake.
   • You may be able to buy building code upgrade coverage, now up to $30,000, and CEA homeowners policies include the first $1,500 for emergency repairs with no deductible.
   • As with most earthquake policies, CEA insurance does not cover landscaping, pools, fences, masonry, or separate buildings.
   • A few companies offer stand-alone policies that are not CEA policies and that can be bought without buying homeowners insurance from the same company.

   Published: 2024-04-25 Effective: not applicable; guidance page

   Active
2. [2]

   Residential Insurance: Homeowners and Renters (information guide, text version)(opens the original record on California Department of Insurance)

   California Department of InsuranceRegulatorPrimaryJurisdiction CALast checked August 31, 2026Updates: revised periodically by CDI; the current text version carries the revision line Form 401 Revised January 2026, so compare that line against the live page each review cycleID cdi-residential-insurance-guide

   What this source supports (49)

   • The guide describes a homeowners policy in coverage parts: Coverage A Dwelling, Coverage B Other Structures, Coverage C Personal Property, Coverage D Loss of Use, Coverage E Personal Liability, and Coverage F Medical Payments to Others.
   • Coverage B Other Structures is normally limited to 10 percent of the Coverage A limit.
   • Coverage C provides protection for the contents of the home and other personal belongings owned by the insured and other family members who live with the insured, and additional amounts of insurance may be purchased.
   • The contents limit is generally around 50 percent of the dwelling amount, and the guide states that this is a guideline only.
   • Coverage D Loss of Use is normally limited to 20 percent of Coverage A.
   • Under the heading for what is typically covered by a homeowners policy if damage is caused by, the guide lists fourteen causes of loss: fire or lightning; windstorm or hail; explosion; riot or civil commotion; aircraft; vehicles; smoke; vandalism and malicious mischief; theft; volcanic eruption; falling objects; weight of ice, snow, sleet; sudden and accidental water damage; and breakage of glass.
   • The guide lists typical exclusions: flood; earthquake; earth movement; termites; insects, rats or mice; water damage caused by seepage or leaks; losses to a house vacant for 60 days or more; mold; wear and tear or maintenance; war; insurrection; tidal wave; neglect; and nuclear hazard.
   • The guide carries the instruction to read the exclusions in the insurance contract.
   • Coverage on certain types of property especially susceptible to loss is limited: jewelry, antiques, furs, collectibles, fine arts, firearms, silverware, and money.
   • The limited coverage amounts for specific types of personal property are not separate limits in addition to the contents limit; they are included in the overall contents limit and represent the maximum paid out for that specific type of personal property.
   • The guide defines the deductible as the amount of loss that the policyholder is responsible to pay up-front before covered benefits from the insurance company are payable.
   • The guide states that if the insured can afford to take a bit more of the risk, a larger deductible may significantly reduce the premium.
   • The guide states that an actual cash value policy will not completely replace the home, that a replacement cost policy improves the chances of being able to completely rebuild, that a policy cannot be sold as a guaranteed replacement cost policy unless it will pay to completely rebuild the home regardless of the coverage limit, and that other types of replacement cost policies will pay the policy limits plus a certain percentage above those limits.
   • For renters policies, the guide states that Coverage E Personal Liability is generally subject to a minimum of $100,000 and Coverage F Medical Payments to Others is generally subject to a minimum of $1,000.
   • The guide states that the landlord does not provide insurance for the tenant's personal property.
   • The guide identifies itself on the page as Form 401, Revised January 2026.
   • The guide lists the coverages of a homeowners policy as "Coverage A - Dwelling, Coverage B - Other Structures, Coverage C - Personal Property, Coverage D - Loss of Use, Coverage E - Personal Liability, Coverage F - Medical Payments to Others."
   • The guide describes Coverage D as follows: "This coverage will help with additional living expenses if your home is damaged by a peril insured against to the extent that you cannot live in your home. These expenses include, but are not limited to, housing, meals and warehouse storage. Coverage D is normally limited to 20 percent of Coverage A."
   • The guide states: "After a residential policy has been in effect for sixty days, the insurance company can only cancel a policy for reasons specified by law, which include; nonpayment of premium, fraud, material misrepresentation, or physical changes in the insured property that increase any hazard insured against."
   • The guide defines material misrepresentation as "A false statement given by an applicant of any important fact that had the insurance company known the truth, it would not have insured the risk."
   • The guide states: "The condominium association generally purchases insurance for the building structure and common areas, such as corridors and walls."
   • The guide states: "Like renters insurance, condominium unit-owners insurance provides coverage for personal property, loss of use, personal liability and medical payments to others. However, it also includes coverage for damages to the interior of the unit and improvements for which the unit owner is responsible to maintain in accordance with the governing rules of the condominium association."
   • The guide states: "Loss assessment may be an important coverage for you to consider, because it covers you for certain assessments that the condominium association makes as a result of a loss."
   • The dwelling limit should be the amount it would cost to replace your home, which may have nothing to do with the purchase price or the current market value.
   • Homeowners should base the limit on the cost of labor and materials necessary to rebuild the dwelling, not fluctuations in the real estate market.
   • Under an actual cash value settlement the recovery is reduced by a fair and reasonable deduction for physical depreciation, and with a replacement cost policy the chances that you will be able to completely rebuild your home are better.
   • Insurance coverage for losses resulting from floods is generally not provided in a homeowners or renters policy.
   • When an insurer writes your homeowners coverage in California, the insurer is legally obligated to offer you earthquake coverage for an additional premium.
   • What was previously called Extended Replacement Cost Coverage is now called Limited Replacement Cost Coverage.
   • The dwelling limit should be the amount it would cost to replace the home, and this may have nothing to do with the purchase price or the current market value of the home, as homeowners insurance does not generally cover the value of the land upon which the dwelling sits.
   • When determining the amount of coverage to purchase, consumers should consider the cost of labor and materials necessary to rebuild the dwelling, not fluctuations in the real estate market.
   • Insurance companies have their own formulas for evaluating replacement cost, and because those formulas are unique to each company, different insurers may suggest or require different limits of coverage for the same dwelling.
   • In a section summarizing key legislation, this guide describes Senate Bill 1855 (2004) as changing the use of the words Extended Replacement Cost Coverage in the California Residential Property Insurance Disclosure to Limited Replacement Cost Coverage. The page states this only as a description of that 2004 bill's effect on the wording of that disclosure; it does not state that Extended Replacement Cost Coverage is generally now called Limited Replacement Cost Coverage, and it gives no rationale specific to the change of words.
   • A policy cannot be sold as a guaranteed replacement cost policy unless it will pay to completely rebuild the home regardless of the coverage limit.
   • Unless the policy has building code upgrade coverage, the insurance company may not pay for changes needed to bring the structure up to current building codes.
   • CDI advises consumers to ask their agent, broker, or insurer whether they automatically review or increase limits on a regular basis, or whether they offer an automatic inflation guard option.
   • In its actual cash value discussion this guide uses the formulation the policy limit or the fair market value of the structure, whichever is less.
   • CDI describes a homeowners policy as divided into a property section with Coverage A dwelling, Coverage B other structures, Coverage C personal property and Coverage D loss of use, and a liability section with Coverage E personal liability and Coverage F medical payments to others.
   • CDI states that Coverage A provides major property coverage protecting the house and attached structures if damaged by a covered peril.
   • CDI states that Coverage B other structures is normally limited to 10 percent of the Coverage A limit, and that Coverage D loss of use is normally limited to 20 percent of Coverage A.
   • CDI states that certain personal property categories such as jewelry and firearms are subject to special limits that cap the amount paid.
   • CDI states that an actual cash value policy will not fully replace a destroyed home because it subtracts depreciation and pays either the repair cost less wear and tear or the policy limit, whichever is less.
   • CDI states that a policy cannot be sold as a guaranteed replacement cost policy unless it will pay to completely rebuild the home regardless of the coverage limit, and that other replacement cost variants pay the policy limits plus a certain percentage above those limits.
   • CDI warns that unless the policy has building code upgrade coverage, the insurance company may not pay for changes needed to bring the structure of the home up to current building codes.
   • CDI advises reviewing the dwelling limit initially and upon renewal, discussing any modifications to the home in writing with the agent, broker, or insurer, and contacting local general contractors to ask the current price per square foot for a home similar to your own.
   • CDI advises keeping an inventory of personal property listing all items owned, the dates purchased, and the price, and offers a free Home Inventory Guide.
   • CDI states that Coverage D reimburses housing, meals and warehouse storage when a covered loss makes the home uninhabitable, and advises keeping receipts for all additional living expenses and submitting them to the company for reimbursement consideration.
   • CDI warns that if you shop by comparing prices only and not by comparing coverage, you are doing yourself a disservice.
   • CDI notes that SB 1855 (2004) requires insurers to disclose, in the California Residential Property Insurance Disclosure and on the declarations page, that the cost to rebuild your home may be different from your homeowners policy limits, and that insurers must distribute the California Residential Property Insurance Bill of Rights every other year.

   Published: 2026-01 (the page carries the line Form 401 Revised January 2026) Effective: not stated on the page

   Active
3. [3]

   California Insurance Code section 10081 (mandatory offer of earthquake coverage)(opens the original record on California Legislative Information (official))

   California Legislative Information (official)Primary lawPrimaryJurisdiction CALast checked August 31, 2026Updates: amended only by legislation; re-check leginfo annuallyID ca-ins-code-10081

   What this source supports (9)

   • 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.

   Published: 1984 (added by Stats. 1984, Ch. 916, Sec. 1) Effective: not separately stated on the page beyond the 1984 enactment note

   Active
4. [4]

   California Insurance Code Section 10083 (timing and prescribed language of the earthquake offer; every-other-year re-offer)(opens the original record on California Legislative Information (official))

   California Legislative Information (official)Primary lawPrimaryJurisdiction CALast checked August 31, 2026Updates: amended only by legislation; re-check leginfo annuallyID ca-ins-code-10083

   What this source supports (14)

   • 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.'

   Effective: 2019-01-01 (operative date stated on the page)

   Active
5. [5]

   California Insurance Code section 10087 (chapter definition of a policy of residential property insurance)(opens the original record on California Legislative Information (official))

   California Legislative Information (official)Primary lawPrimaryJurisdiction CALast checked August 31, 2026Updates: amended only by legislation; re-check leginfo annuallyID ca-ins-code-10087

   What this source supports (6)

   • The definition in this section is scoped to the earthquake insurance chapter in which it sits and does not purport to define residential property insurance for any other purpose.
   • Within that chapter, a policy of residential property insurance means a policy insuring individually owned residential structures of not more than four dwelling units, individually owned condominium units, or individually owned mobilehomes, and their contents, located in this state and used exclusively for residential purposes, or a tenant's policy insuring personal contents of a residential unit located in this state.
   • The definition does not include insurance for real property or its contents used for any commercial, industrial, or business purpose, except a structure of not more than four dwelling units rented for individual residential purposes.
   • The definition does not include policies that do not provide the perils of a standard fire policy.
   • The definition excludes policies issued on or after January 1, 2022 providing coverage for fines, penalties, restitution, or losses arising from recovery residences or substance abuse treatment facilities, subject to a carve-out for certain not-for-profit resident-managed recovery residences.
   • Proof of first-class mailing creates a conclusive presumption of delivery, as does a signed receipt for hand delivery.

   Effective: not stated on the page as a single date; subdivision addressing recovery residences applies to policies issued on or after January 1, 2022

   Active
6. [6]

   Homeowners Coverages and Deductibles (CEA homeowners policy)(opens the original record on California Earthquake Authority)

   California Earthquake AuthorityCarrier officialPrimaryJurisdiction CALast checked August 31, 2026Updates: changes with CEA rate and form filings; verify limit and deductible options each review cycleID cea-homeowners-coverages-deductibles

   What this source supports (11)

   • 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.'

   Effective: not stated on the page

   Active
7. [7]

   10 CCR section 2697.6, Earthquake Policies, Coverage Types and Limits (unofficial reproduction by Cornell LII)(opens the original record on Cornell Legal Information Institute, reproducing California Code of Regulations Title 10)

   Cornell Legal Information Institute, reproducing California Code of Regulations Title 10SecondarySecondaryJurisdiction CAThird-party reproductionLast checked August 31, 2026Updates: amended through California rulemaking; confirm against the official California Code of Regulations before republishingID ccr-10-2697-6

   What this source supports (4)

   • The reproduced regulation sets the Coverage A limit of insurance on the basic residential earthquake policy equal to the stated Coverage A limit of the underlying residential property insurance policy.
   • The reproduced regulation sets a personal property limit of no less than $5,000.
   • The reproduced regulation sets a loss of use limit of no less than $1,500, with no deductible.
   • The reproduced regulation sets building code upgrade coverage at no less than $10,000, subject to the Coverage A deductible.

   Effective: not stated on the reproduction

   ActiveReproduction
8. [8]

   Dwelling - The California FAIR Plan (policy category listing)(opens the original record on California FAIR Plan Association)

   California FAIR Plan AssociationCarrier officialPrimaryJurisdiction CALast checked August 31, 2026Updates: changes with FAIR Plan form and program filingsID cfp-dwelling-policy

   What this source supports (19)

   • The California FAIR Plan Dwelling Fire Policy is a named peril policy, which provides coverage only for damage caused by the specific causes of loss listed in the policy.
   • The causes of loss shown on the page are fire and lightning, internal explosion, and smoke.
   • Optional coverages are available at an additional cost, such as coverage for vandalism and malicious mischief.
   • The FAIR Plan suggests that for more complete property coverage the reader consider purchasing Difference in Conditions, Flood, or Earthquake policies to supplement a California FAIR Plan policy by covering additional perils.
   • The page states that the California FAIR Plan Dwelling Fire Policy is a named peril policy, which provides coverage only for damage caused by the specific causes of loss listed in the policy.
   • The page lists Fire and Lightning, Internal Explosion, and Smoke as the covered perils shown.
   • The page states that optional coverages are available at an additional cost, such as coverage for vandalism and malicious mischief.
   • The page advises considering Difference in Conditions, Flood, or Earthquake policies to supplement a California FAIR Plan policy by covering additional perils.
   • The page describes the California FAIR Plan as an insurer of last resort, established by statute to provide basic property insurance to Californians statewide when no other option is reasonably available, and describes the dwelling policy as a temporary solution.
   • The California FAIR Plan's dwelling page lists a category labeled "Owner-Occupied", described as "1-4 unit dwellings in which the owner lives in one or more unit."
   • The same page lists a category labeled "Rentals", described as "1-4 unit dwellings that are rented to a tenant for at least one year."
   • The same page lists a category labeled "Seasonal Rental", described as "Dwellings that are rented (in whole or part) for less than one year."
   • The same page lists a category labeled "Condominium Unit Owners", described as "Personal property and improvements coverage for a condominium unit owner", separate from its owner-occupied and rental dwelling categories.
   • The same page lists a category labeled "Renters", described as "Personal property coverage for the tenant of an apartment or single/multi-unit dwelling."
   • The California FAIR Plan Dwelling page lists covered perils including Fire and Lightning, Internal Explosion, and Smoke.
   • The California FAIR Plan Dwelling page states that optional coverages are available at an additional cost, such as coverage for vandalism and malicious mischief.
   • The California FAIR Plan Dwelling page states that for more complete property coverage the reader should consider purchasing Difference in Conditions, Flood, or Earthquake policies to supplement a California FAIR Plan policy.
   • The California FAIR Plan Dwelling page states that if you are unable to purchase coverage with a traditional insurance company, the California FAIR Plan offers a temporary solution for the occupancy types it lists.
   • The California FAIR Plan Dwelling page does not list liability, theft, or water damage among the covered perils, and states no maximum dwelling limit.

   Effective: not stated on the page

   Active
9. [9]

   Renter's Insurance (consumer guidance)(opens the original record on New York State Department of Financial Services)

   New York State Department of Financial ServicesRegulatorPrimaryJurisdiction NYLast checked August 31, 2026Updates: NY DFS revises consumer pages periodicallyID nydfs-renters-insurance

   What this source supports (5)

   • A landlord does not provide insurance for a tenant's personal property.
   • An exception to this can occur if the landlord was aware of a prior hazardous condition, failed to correct it in a reasonable time frame, and as a result the tenant's property was damaged.
   • Renter's insurance is described in coverage parts including personal property, loss of use, personal liability, and medical payments to others.
   • The covered causes of loss the page lists include fire, smoke, theft, vandalism, windstorm, hail, lightning, explosion, falling objects, weight of snow, ice and sleet, and water damage from plumbing or appliance failure.
   • Liability protection is described as covering injuries that others sustain while at the tenant's home, including medical expenses and any resulting lawsuits, and damage to other people's property.

   Effective: not stated on the page

   Active
10. [10]

    Eligibility | National Flood Insurance Program(opens the original record on FEMA, National Flood Insurance Program (FloodSmart))

    FEMA, National Flood Insurance Program (FloodSmart)RegulatorPrimaryJurisdiction USLast checked August 31, 2026Updates: FEMA updates NFIP program pages periodicallyID fema-nfip-eligibility

    What this source supports (5)

    • Most homeowners insurance does not cover flood damage, and it will not fulfill the mortgage or federal disaster assistance requirements for flood insurance.
    • You can get flood insurance from the National Flood Insurance Program if your city or town participates in the NFIP's floodplain management requirements.
    • You are required to have flood insurance if you own a home or business in a Special Flood Hazard Area and have a government-backed mortgage.
    • Some banks require flood insurance even if you do not live in a high-risk area, and the page tells readers to ask their mortgage lender about its flood insurance terms.
    • If a property has received federal disaster assistance before, flood insurance must be maintained to qualify for future disaster assistance, including FEMA disaster grants and Small Business Administration disaster loans.

    Effective: not stated on the page

    Active

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