Disaster Predictions

God Forbid anyone get caught in a huge disaster. But it does happen. And it is always better to be prepared.

The Basics

You should have a place designated for disaster supplies. You should have enough food and water stored for at least 1-2 weeks.
Keep thermals and heavy coats there too . Along with crank flashlights. matches. bleach. flares. cell phone batteries. crank radio and a power generator.

Specifically , make sure you have …..

# Fire extinguisher
# Adequate supplies of medications that you or family members are taking
# Crescent and pipe wrenches to turn off gas and water supplies
# First-aid kit and handbook
# Flashlights with extra bulbs and batteries
# Portable radio with extra batteries
# Water for each family member for at least two weeks (allow at least 1 gallon per person per day) and purification tablets or chlorine bleach to purify drinking water from other sources
# Canned and package foods, enough for several days and MECHANICAL can opener. Extra food for pets if necessary
# Camp stove or barbecue to cook on outdoors (store fuel out of the reach of children)
# Waterproof, heavy-duty plastic bags for waste disposal.

Can the structure of your residence withstand disaster ?

f your home is constructed before the 1980?s, you probably need to retrofit it, especially if it is close to an active fault (15 miles or less). Seismic retrofitting measures ensure the structural integrity of your home to withstand earthquakes with little structural damage. Retrofitting is your own decision at your own risk according to your financial situation as it may be costly. However, it may be addressed one step at a time. The best return on the investment of retrofitting efforts is to initially address the foundations issues followed by bracing the cripple walls, then bracing the soft story, and ending with bracing or anchoring the masonry chimney.

You should mitigate the contents of your home whether you retrofit it or not. Earthquake mitigation measures are simple techniques taken to secure non-structural elements and contents of your home to the studs of the interior walls, in order to reduce the risk to lives and investments, using inexpensive hardware tools and materials found in hardware stores and home centers. Items in the garage should also be secured to reduce damage to vehicles. Self-mitigation techniques can be undertaken by homeowners as they are simple to explain and require no special expertise, materials or tools to implement.

What if your Home is Destroyed or Partially Damaged?

Many people wrongly believe that the United States Government will take care of all their financial needs if they suffer losses in an earthquake . This is not true. In fact, the federal disaster relief programs are designed to help you get partly back on your feet but not to replace everything you lose. In the meantime, homeowners insurance does not cover earthquake damage to your home and possessions. Therefore, most of the property damage caused by an earthquake will end up being handled and paid for by you. In addition, you are still responsible for your existing debts such as mortgage, auto loans, and credit card payments even if your home is destroyed or partially damaged.

How to Protect your Assets and Investments?

If you own your home, it is probably your biggest financial asset. You have worked hard to secure your piece of the American Dream to become a homeowner. Your assets and investments made in personal belongings may be at risk when an earthquake strikes as your home will probably have some level of damage. How do you plan to protect these assets and investments from the costs of destructive earthquakes? Earthquake preparedness plans that include retrofitting your home and mitigating its contents are effective ways for protection against earthquake damage. Another option for managing the potential costs is to buy earthquake insurance.

Earthquake Insurance

Earthquake insurance provides coverage for ground shaking that may destroy your home, business, and personal belongings. Coverage for other kinds of damage that may result from earthquakes, such as fire and water damage due to burst gas and water pipes, is provided by standard homeowner and business insurance policies. On the other hand, cars and other vehicles are covered for earthquake damage only under the comprehensive part of the auto insurance policy. The states of California, Washington, Missouri, Tennessee, Oregon, Illinois, New York, Kentucky, Florida, and Indiana are the top 10 largest markets for earthquake insurance coverage. Earthquake insurance premiums differ widely by location, insurance company, and the construction material of your home. Older buildings cost more to insure than newer ones. Wood-frame structures benefit from lower rates than unreinforced masonry buildings as they tend to withstand earthquake forces better. A wood frame house in the Pacific Northwest costs $1-3 per $1,000 worth of coverage but less than $0.50 on the East Coast, while an unreinforced masonry home costs $3-15 per $1,000 in the Pacific Northwest but $0.60-0.90 in New York.

Do You Need Earthquake Insurance?

A wise decision on earthquake insurance is crucial if you live in an active seismic region. My family and I survived the 1995 Kobe Earthquake because I decided to live in a relatively new reinforced concrete apartment building although the rent was higher than traditional Japanese wooden houses. The three story main building stood still after the earthquake except an extension that partially collapsed, while many of the surrounding traditional houses completely collapsed. However, the apartment contents were damaged including the refrigerator, a microwave, and a large TV. The answers to the following questions may help you to decide if earthquake insurance is right for you:

Do you know the plausible earthquake hazard at your home? How much would it cost to repair/rebuild your home? Can you afford paying the mortgage while also paying to repair/rebuild your home? Can you afford losing your home equity? How much would it cost to replace your household expensive possessions (furniture, computers, HDTV’s, refrigerators, etc) if destroyed? How much would temporary accommodations cost if you cannot live in your home after the earthquake?

Interesting Facts on Earthquake Insurance

It is surprising to know that only 12% of California residents currently have earthquake insurance coverage down from 33% in 1996 when the devastating 1994 Northridge Earthquake was still fresh in people’s minds. On the other hand, 35% of Missouri homes have earthquake insurance coverage which seems reasonable.

Concluding Remark

On January 09, 2010 the powerful Mw = 6.5 Offshore Northern California Earthquake caused moderate damage to the City of Eureka and elsewhere in Humboldt County. Few days later, on January 12, 2010, a catastrophic earthquake of magnitude 7.0 struck Haiti which is considered to be one of the deadliest quakes in the last four decades. These earthquakes are wake up calls for individuals living in active seismic regions to re-consider retrofitting their homes and mitigating their contents to protect themselves and their families; to develop, update, or maintain their own earthquake preparedness plans; and to re-consider buying earthquake insurance to manage the potential costs of future earthquakes.