Earthquakes strike suddenly, violently, and without warning. They can strike at any time of the day or night. Ground shaking from earthquakes can collapse buildings and bridges, disrupt utility services, and can sometimes trigger landslides, avalanches, flash floods, fires, and tsunamis. 

According to the Mississippi Emergency Management Agency, the number of earthquakes that have occurred in Mississippi is small, but numerous earthquakes in neighboring states have affected the state. Parts of Mississippi lie within the New Madrid Seismic Zone, where in 1811 and 1812, a three month long series of earthquakes (including three with a magnitude over 8.0) were felt in Mississippi. The shaking reached the Gulf Coast and caused the banks of the Mississippi River to cave in as far south as Vicksburg.

It is estimated that a major earthquake in a highly populated area of the United States could cause as much as $200 billion in losses.

Do I Need Earthquake Insurance in Mississippi?

Earthquakes can cause devastating damage to homes, apartments, and condominiums. They can damage foundations and cause walls to collapse. Even mild tremors can destroy furnishings and belongings when they’re strewn about a room or sent crashing to the floor.

Earthquake damage is typically not covered by standard Mississippi homeowners insurance policies. But earthquake coverage is available in the form of a separate policy or an endorsement on your Mississippi homeowners insurance. 

According to the latest US Geological Survey National Seismic Hazard Maps, 42 states, including Mississippi, have at least some potential for damage to buildings over the next 50 years. 

If you live in a high-risk area where earthquakes are more frequent and more powerful, you should get earthquake insurance. If you live near the San Andreas Fault Line, the New Madrid Seismic Zone, or along the Ramapo Fault Line, you should at least consider it.

While evaluating your need for earthquake insurance in Mississippi, consider the following:

• Your ability to afford the cost of rebuilding or repairing your home if it were damaged by an earthquake
• Your ability to replace your personal belongings if they were damaged or destroyed by an earthquake
• Your ability to pay for temporary housing and other expenses if structural damage made your home uninhabitable

What Are the Benefits of Having Earthquake Insurance?

Earthquake insurance helps you repair or rebuild your home, replace your personal belongings, and pay for additional living expenses if your home sustains earthquake damage. While an earthquake may be a rare event, if you have any risk at all where you live, earthquake insurance will make a huge difference in your ability to recover after one strikes. 

You likely won’t be able to rely on federal disaster assistance from FEMA either. Federal assistance for disasters is often in the form of low-interest loans that have to be paid back. And it might only provide for immediate needs like food, clothing, medical assistance, and temporary shelter. Disaster assistance likely won’t help you rebuild your home or replace your possessions. 

If you live in an area with a measurable earthquake risk, earthquake insurance is an important way to protect your home and personal property. 

What Are the Risks of Not Having Earthquake Insurance?

Earthquake insurance can help you rebuild your life after an earthquake, starting with rebuilding your home and replacing your things. 

The financial risk of not having earthquake insurance is significant. Without earthquake coverage, you’d have to pay for the entire cost of rebuilding your home while continuing to pay your mortgage. What’s more, you’d have to pay for staying in a hotel or some other temporary location and all of your other normal living expenses while your home is uninhabitable.

What Does Earthquake Insurance Cover?

Earthquake insurance covers damages caused by an earthquake, a sudden and violent shaking of the ground resulting from movement of the earth’s crust. Earthquake insurance provides coverage for:

• Damage to your home (dwelling coverage)
• Damage to your personal belongings inside your home (contents coverage)
• Additional living expenses or loss of use (the costs to live somewhere else while your neighborhood is evacuated or your home is being repaired)

It’s important to know that deductibles for earthquake insurance are typically set at 10% to 20% of the coverage limit for your policy. That means that if you have a $200,000 earthquake insurance coverage limit with a 15% deductible, you’d have to pay $30,000 out-of-pocket before your coverage would kick in. There may be separate deductibles for your dwelling and contents coverage. 

What’s more, earthquakes occurring more than 72 hours apart are considered to be separate events. If your home sustained damage from both events, you may have to make a second claim and pay a second deductible. Because your out-of-pocket expenses would be considered “uninsurable losses,” it’s possible you could qualify for an emergency relief loan to cover them. 

What Does Earthquake Insurance Not Cover?

Earthquake insurance, like most other types of insurance, doesn’t cover everything. 

First, your earthquake insurance wouldn’t cover damage that is covered by your standard homeowners insurance. If, for example, the earthquake led to a fire in your home, the earthquake insurance would not cover the damage, but your home insurance would. 

Earthquake insurance also does not cover damage to vehicles, fences, pools, and certain high-value items. Usually damage to your landscaping or land are not covered either. 

External water damage, or flooding, is not covered under an earthquake insurance policy. If the earthquake results in flooding, a tsunami, or a sewer backup, you’d have to have flood insurance or a sewer backup endorsement on your home insurance policy in order to be covered for any damage that you sustain. 

How Can an Agent Help Me Find Earthquake Insurance in Mississippi?

Not every homeowners insurance company in Mississippi will sell earthquake insurance. In order to find the right earthquake insurance policy, seek help from an independent insurance agent in your city. 

An independent insurance agent isn’t tied down to one carrier, and can help homeowners, condo unit owners, mobile homeowners, and renters find appropriate earthquake insurance. You’ll be able to review multiple quotes and choose the policy that is right for your needs.