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Released: March 05, 2010

The high cost of quake insurance will rock your bank account

Source: David Lazarus, Los Angeles Times (Free Registration)

Yves Didier has been a strong believer in earthquake insurance since the 1994 Northridge quake, when his apartment building was severely damaged and some of his neighbors lost their lives.

He didn’t hesitate to pay as much as $2,500 a year for coverage after he purchased a three-bedroom house in Reseda in 1999. He said he’s never missed a payment and (thankfully) never had to make a claim.

So it came as a shock for Didier, 45, to recently be told by his insurer, GeoVera Insurance Co., that his annual premium would nearly triple to $7,100 and that his deductible would soar to more than $100,000.

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