TUESDAY, APRIL 13, 2010

Mike's thoughts on Earthquake Insurance

Seems to me that We've experienced more 7.0 and greater earthquakes in 
the last 4 months than we have in the last 20 years!

If you don't have earthquake insurance today
  ....perhaps now would be a good time to seriously consider adding it?

If your still unsured, simply ask yourself these questions:

1). Can I afford 2 mortgages even if I could qualify for another mtg 
in this economy?

2) If you don't like the idea of doubling your mtg...not to worry your 
liability is limited ....fema's maximum loan is only 240k but you must 
qualify for it. Unfortunately this amount will only rebuild 1200 ft of 
house so maybe the house was to big anyway? Less housework plus it 
keeps the family close

3).Have u considered that your employment might be effected by this 
event as well? Some companies closed up in the 94' 6.4 quake not sure 
if the same trend could continue in a 7.8 quake

4). Did u know that if you choose not to rebuild you can still get the 
$? you can scrape the lot demo the home, pay off the mtg and move to 
Texas if you like and dont forget the $ you get from EQ coverage is Income Tax Free!


I often hear people say that the coverage cost is prohibitive but 
usually it only costs $100-150 / month. You can't afford not to have it.

Finally we offer this coverage thru the CEA ( Calif. Earthqukae Authority) which is the worlds largsest 
earthquake carrier. Remember when you were a kid and you used to say it's 
better to ask for forgiveness than permission?

Well there will be millions in line asking their gov (fema) for a loan , grant or
some form of government aid. Problem is history has shown the government doesn't 
respond to well ( ie New Orleans).

So unless you really like living in a 
trailer out of state.... Maybe, just maybe, it's time to switch sides on 
this debate and  become one of the 13% in the state that is prepared and 
does carry this coverage . I can think of alot of worse ways to spend
$100/ month and aren't your real estate holdings  probably the biggest 
asset you own?

Do the math ! Ten yrs of premium is between $14-18,000 . come eq time 
you collect $200-300.000 income tax free and your not bankrupt. Think about it.....what would be a better deal? the
the $18,000 in saved premium plus 2% interest or the $315,000 of income tax free benefits??

This has been a public service message from krupka family insurance 
Agency Inc. We welcome your thoughts & comments

Posted 5:10 PM  View Comments

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California Insurance License Name and Number: 0C54760 KRUPKA FAMILY INSURANCE AGENCY, INC.
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