Earthquakes in the U.S. cause an average of $14.7 billion in property damage annually, with nearly two-thirds of losses occurring in California. Most standard homeowners insurance policies do not cover earthquake-related damage, necessitating additional earthquake insurance.

Earthquake insurance typically covers repairing or replacing a home’s structure, personal belongings, temporary living expenses, and debris removal. However, policies often exclude coverage for fire, floods, land damage, preexisting damage, vehicles, and masonry veneer.

Earthquake insurance premiums average $800 annually in the U.S., with higher costs in high-risk areas like California. Deductibles are usually a percentage of the policy limit, ranging between 10% and 20%. It’s recommended to choose a coverage limit that can rebuild your home to its previous condition.

In the aftermath of an earthquake, the federal government may provide assistance through FEMA’s Individual and Households Program. However, the maximum grant is $43,600, which may not cover severe damage. Small Business Administration disaster loans can also offer aid for repairs or replacement of property.

Earthquake insurance is recommended for those in earthquake-prone regions like California and Alaska. Renters can also get earthquake insurance to protect personal property and loss-of-use expenses. Comprehensive car insurance covers vehicle damage from earthquakes and other natural disasters.

Read more at Yahoo Finance: Your existing homeowners policy isn’t enough