Earth Quake

[Call me bubba]

 

 

If you ask a quality company you will find the price on earthquake insurance much higher than fire insurance. So that means they reckon the risk of earthquake is higher than the risk of fire

Or could be that the potential damage from an earthquake would be much worse in a high rise then a fire. But I don't know if fire insurance is more or even if earthquake insurance is available. I know an insurance agent who lives in Winland Towers on the upper floors so I will check w/him.

 

The insurance guy said earthquake insurance is available, it falls under an "umbrella policy" that also covers fire, flood, typhoon, and accident. There are many options, for example one with coverage of p4M costs p4k annually for fire insurance only. If you add in the others (quake, flood, etc) the same amount of coverage costs p7.6k. Not really that much more.

 

interesting article that was published just about this(insurance)

who knows maybe this can a wakening call for those to get this insurance (but i am not holding my breath)

 

Group wants earthquake insurance instituted

By Jennifer Ambanta | Posted 23 hours ago | 68 views

The Philippine Insurers and Reinsurers Association on Wednesday

called for the institution of an earthquake insurance in the wake of the magnitude 7.2 tremor that struck Central Visayas Tuesday.

Pira, the umbrella organization of non-life insurance companies in the country,

also said its member companies with responsibility to indemnify insured clients

were expected to do so as soon as possible.

Pira said the Bohol earthquake underscored the need for a “mandatory earthquake insurance”

that was now being proposed by the industry together with the Asian Development Bank and the Insurance Commission.

“The only way for earthquake insurance to be affordable is for it to have a huge base.

And for it to have a huge base, it must be mandatory,” said Pira spokesman Michael Rellosa.

 

The group said only few Filipinos were insured against earthquake. It said only 12 percent of buildings had fire insurance policy and a measly 20 percent of this 12 percent had earthquake insurance.

“Earthquake is a standard exclusion in a standard fire policy.

You have to ‘buy back’ this exclusion so you will be covered,” said Rellosa.

“It is sad but many clients consider earthquake cover as an extra expense since they have to pay extra for it,” he said.

A part of so-called catastrophic perils, earthquake, along with typhoon and flood insurance,

requires an extra premium of 0.15 percent of the total sum insured.

It means that for a P1-million house, an additional P1.500 in premiums was needed on top of the fire premium of P1,000 (0.1 percent).

Pira has a technical working group on the proposed mandatory earthquake insurance that is coordinating with the ADB and legislators for a bill that would require all residential buildings as well as buildings owned by small and medium-sized enterprises to be insured for earthquake.

 

http://manilastandardtoday.com/2013/10/17/group-wants-earthquake-insurance-instituted/