Re: “Earthquake insurance premiums soar,” Jan. 12.
This massive increase in earthquake insurance has made me do some calculations.
My insurance company claims my house is worth $350,000 yet B.C. Assessment says it is $105,000. I tried, but I can’t change the insurance value. At the same time my garage, according to the insurance company, is worth $35,000. This is a simple 10-by-20-foot 1936-era garage.
Recently, I inquired about the cost to build a simple double-car garage in the same style. The quote was $20,000. I have yet to get a quote to rebuild my house but have talked to builders and, with the difference in the evaluations, it would not be anywhere close to $350,000.
The earthquake deductible amount on the house would be 10 per cent or $35,000. So if we have an earthquake and a few windows break or a wall gets cracked, then I am on the hook for the first $35,000. If the damage is limited to my garage then it is not covered.
Is there really any point in having earthquake insurance? As far as tsunami damage is concerned, I think that by the time Pacific Ocean waves go through the straits and get around to the southern tip of the Island, the force will have petered out.
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