Most commercial property insurance policies exclude earthquake damage, yet many local business owners do not purchase earthquake coverage, even though we live and work in a seismically active area with a history of major quakes.
Commercial earthquake insurance policies generally cover:
-Structural damage due to seismic activity.
-Damage to the property such as inventory, equipment, and machinery.
-Some policies may also cover lost business income as the business interruption stemming from an earthquake.
Some carriers may require commercial structures to undergo inspections and make repairs and/or upgrades — such as securing the building to its foundation, bracing walls, chimneys, or other masonry, as well as other structural improvements — before issuing a policy.