What type of insurance covers damage caused by earthquakes?

Earthquake insurance is specifically designed to cover damage to property resulting from earthquakes. This type of insurance typically covers the structure of a home or building as well as personal belongings within it. It protects policyholders from the significant financial impact that can occur due to the destruction caused by seismic activity. Since earthquakes can lead to extensive property damage that standard homeowners or business insurance policies often do not cover, earthquake insurance plays a crucial role in safeguarding assets in earthquake-prone regions.

Flood insurance, fire insurance, and pest insurance do not address the risks associated with seismic events. Flood insurance is focused on covering damage from flooding, fire insurance is aimed at damage from fires, and pest insurance generally covers losses due to infestations and does not pertain to geological events like earthquakes. This makes earthquake insurance the only relevant choice for protecting against earthquake-related damages.