Individual Earthquake Insurance

The ground under our feet is always moving, and we live with a muted anxiety over the “Big One.” Your Board is seeking to educate the membership about the availability of earthquake insurance. Our HOA does not carry earthquake insurance due to its prohibitive expense. For planned unit developments such as Aegean Heights, the Association is responsible for rebuilding in the event of a damaging earthquake. However, the funding for rebuilding would likely come from assessing all property owners. This assessment risk can be mitigated through the provisions of earthquake insurance providers licensed in the State including the California Earthquake Authority (CEA). Here are some key planning points:

  • The first step is to contact your current property insurance company about adding earthquake insurance.  Coverage options can be complex for owners in a planned unit development.
  • The maximum assessment risk coverage under the CEA is $100,000. Coverage may be higher or lower through other carriers.
  • In order to add CEA insurance, your existing property insurance carrier (HO-6 policy) must be in force with a participating CEA insurance company.
  • The deductible is scalable from 5%-25%.

Aegean Heights Homeowners Association is not an advocate for any coverages or insurance carriers. Some earthquake Insurance providers may not offer the coverage available through the CEA and some providers may or may not be competitive with the CEA for the same coverage. See for stand-alone earthquake insurance companies that might offer more coverage options than the CEA.

Our Association Certificate of Liability broker, Labarre/Oksnee, recently introduced an innovative earthquake program for residential associations. In partnership with Labarre/Oksnee, MOTUS Insurance Services offers loss assessment coverage as an Opt-In plan with the HOA carrying the master policy. Some of the distinguishing features of MOTUS Earthquake Insurance program include:

  • The coverage is built on a commercial earthquake model offering far greater loss protections (e.g., foundations, underground plumbing, pools and spas).
  • Participation does not require that the member have existing property insurance.
  • Flexible coverage options.
  • Can be written to cover household contents.
  • Covers “Red Tag” (condemnation) and loss of use.
  • Policy pricing is tailored to earthquake-related risk in our area.
  • Annual premiums for significantly more protection can be less than those charged by CEA.
  • A scalable deductible applies.

MOTUS Insurance Services are backed by insurers rated “A-” (Excellent) by the rating service AM Best. For further information, contact MOTUS Insurance Services at 833-668-8746 or

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