California Home Insurance FAQs

Yes, you can get renters’ insurance that will help protect you in the event that your apartment is damaged and you suffer a loss of personal property. This is important because your landlord is not responsible for your personal property. Condominium owners can also purchase policies that are similar to renters’ policies; they protect the owners for personal property.

No, but you can purchase a separate business insurance policy to give you the protection you need.

Investigate the offers that various insurance companies make to help you save money on your insurance. For example, many companies offer discounts for homes that have fire protection systems (such as fire alarms, smoke detectors, and sprinkler systems), burglar alarms, and/or disaster-resistant features. Some companies give you better rates if you also buy your car insurance from them. Consider raising your deductibles. Remember that California law allows insurance companies to set their own rates, subject to California Department of Insurance approval, so always compare what companies offer, and save money.

Damage from explosions, house fires, wildfires, smoke, lightning strikes, wind, hail, riots, aircraft crashes, vandalism, theft, volcanoes, falling objects, ice, snow, sleet, sudden water (but not by floods, seepage, or leaks), and glass breakage is usually covered. But always check your policy and the fine print to see if there are limitations. For example, wildfires are common in California but not always covered as fully as the home owner expects.

Damage from floods, tidal waves, and seeping or leaking water; earthquakes and other earth movements; mudslides; animals such as insects and rodents; mold, war or revolution; neglect or any losses to houses vacant for more than 60 days; and nuclear accidents is not usually covered in standard policies. However, protection for some of these may be purchased at an extra cost. The United States government offers optional flood insurance to all homeowners through the National Flood Insurance Program (NFIP). Because earthquakes are common in California, insurance companies in California are required to inform you about additional earthquake insurance that you can purchase. Earthquake insurance can be added by the company or through the California earthquake authority (CEA).

The limit for Coverage A: Dwelling would be the cost to replace your home and attached structures, or the replacement value. Insurance companies use their own formulas to compute the cost of materials and labor that would be needed to rebuild or repair your home. The actual cost of your home is the purchase price (what you paid for your home) or the current market value (what you could sell your home for now), both of which include the land value as well as the dwelling. These are not factored into your home insurance limits.

Yes, your possessions are protected against damage and loss even when they are not on your property. Check your policy for specifics.