Does Home Insurance Cover Earthquake Damage in Texas?

In Texas, as in most other states, standard homeowners’, landlord, and mobile home insurance policies typically do not cover damage caused by earthquakes. However, homeowners can purchase a separate earthquake endorsement or a standalone earthquake insurance policy to cover such damages.

If you’re considering earthquake coverage in Texas, keep in mind:

1. Coverage: Earthquake insurance typically covers damage to your home and its contents caused by the earthquake. It might also pay for additional living expenses if your home is uninhabitable due to earthquake damage.
2. Deductibles: Earthquake insurance often has a unique deductible system. Instead of a standard dollar amount, deductibles are usually a percentage of the dwelling coverage limit, typically ranging from 2% to 20%. For instance, if your home is insured for $200,000 and you have a 5% deductible, you would be responsible for the first $10,000 in damages before the insurance kicks in.
3. Regional Variability: While Texas is not as famous for earthquakes as California, the state has experienced seismic activity. Some regions in Texas have a higher risk than others, and this may influence the availability and pricing of earthquake insurance.
4. Additional Policies: It’s also crucial to remember that earthquake insurance generally does not cover flooding or water damage that might result from an earthquake, such as a burst pipe or a nearby body of water overflowing. If this is a concern, you may also want to consider purchasing flood insurance.

If you’re considering getting earthquake insurance in Texas, you should talk to your insurance agent to understand the coverage options, costs, and whether it’s a good fit for your circumstances.