Question 1

Does standard home insurance in Downey cover earthquake damage?

Accepted Answer

No, standard homeowners insurance policies in California explicitly exclude earthquake damage. You need to purchase a separate earthquake insurance policy to protect your home from seismic events. Despite living in an active earthquake zone, only about 10% of California residents carry earthquake coverage, leaving most homeowners financially exposed.

Question 2

How much does earthquake insurance cost for a home in Downey?

Accepted Answer

Earthquake insurance in California typically costs between $1,248 and $2,744 per year for $500,000 in coverage, though rates vary by location and specific risk factors. After the California Earthquake Authority's 6.8% rate increase in January 2025, most homeowners pay about $70 more annually. Higher-value homes in premium Downey neighborhoods may see premiums exceeding $3,000 per year.

Question 3

Should I retrofit my mid-century Downey home for earthquakes?

Accepted Answer

Yes, retrofitting is highly recommended for Downey's mid-century homes, which make up nearly 69% of the city's housing stock. Homes built in the 1940s-1960s typically lack modern seismic protections like foundation bolting and cripple wall bracing. Retrofitting significantly reduces earthquake damage risk and may qualify you for insurance premium discounts. Check for local grants or low-interest loan programs to help offset costs.

Question 4

What's the deductible on earthquake insurance in California?

Accepted Answer

Earthquake insurance deductibles typically range from 5% to 25% of your dwelling coverage amount. For a Downey home with $500,000 in dwelling coverage, you could be responsible for $25,000 to $125,000 in damage before insurance coverage begins. This is significantly higher than standard homeowners policy deductibles, but protects you from paying for the entire rebuild yourself.

Question 5

How often should I review my home insurance coverage in Downey?

Accepted Answer

You should review your coverage annually, especially in Downey's appreciating market where home values increased 5.6% year-over-year in late 2024. Many homeowners are underinsured because their dwelling coverage hasn't kept pace with rising replacement costs. Make sure your policy limits reflect current rebuilding costs, including materials, labor, and bringing your home up to current building codes.

Question 6

Where should Downey homeowners buy earthquake insurance?

Accepted Answer

The California Earthquake Authority (CEA) should be your first stop when shopping for earthquake insurance. The CEA partners with many private insurance companies and offers standardized policies with transparent pricing. You can use their online calculator to get estimates based on your specific home, location, and coverage needs before making a decision.

Insurance Agents in Downey, California (CA)

Insurance agencies serving Downey

Aldia Insurance Services, LLC.

Bruce Roberts Insurance Services

Insurance Agents in Downey, California (CA)

Insurance agencies serving Downey

Aldia Insurance Services, LLC.

Bruce Roberts Insurance Services

First Point Insurance Services Inc

Love Hope And Faith Insurance Services

Marco Frias Insurance Services

Marco Frias Insurance Services

Newest Insurance

R D I Insurance Agency, Inc.

Strong Tie Insurance Services Inc.

Webfast Insurance Services

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