In California, only about 10 percent of homeowners have earthquake insurance (1). But for those who end up filing a claim for earthquake damage, insurance can seem like a blessing. Unless your claim happens to be denied.
There are many reasons why an insurer might choose to deny your earthquake insurance claim. Perhaps you did not file the claim within the one-year reporting period, or the inspector did not find sufficient enough damage to justify an insurance claim.
Whatever the reason, the denial of a claim is a frustrating experience that only magnifies the devastation of an earthquake.
Now Here’s What to Do…
After you have been notified that your insurer is denying your earthquake insurance claim, and you believe that you are owed the payment, contact a lawyer for insurance claim representation. The lawyer should be able to discuss with you the possible outcomes of pursuing a case against the insurance company.
The Lawyer Referral and Information Service (LRIS) of San Diego County can refer you to an insurance claims lawyer who will provide up to 30 minutes of free consultation.
You may also consider calling the California Department of Insurance (CDI) and the California Earthquake Authority (CEA). These organizations can help determine if there is anything you can do legally or if there are other assistance programs to help you recover from some of the damages.
(1) http://www.iii.org/issue-update/earthquakes-risk-and-insurance-issues