California-Specific RulesQuestion 61 of 215
An admitted insurer that writes residential property insurance in California must offer earthquake coverage to the policyholder at what point?
a.Only after the U.S. Geological Survey reports increased seismic activity
b.Only when a new policy is first issued, never again
c.At every policy renewal, in writing, with the premium and basic terms
d.Only when the policyholder asks in writing
Explanation
Cal. Ins. Code §10081 requires every admitted insurer that writes residential property insurance to offer earthquake coverage in writing at each renewal. The offer must state the premium and basic terms. The policyholder may decline, but the offer itself must be made — it is not contingent on a written request or seismic activity.
Law Reference: Cal. Ins. Code §10081Practice all 215 questions free — no signup required.
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