Insurance rates in California

9 Replies

Hi BP!

I'm comparing insurance quotes right now for an owner-occupied duplex in Sacramento. All the quotes default with no flood or earthquake insurance. 

For my CA people, do you carry earthquake coverage? Why or why not?

Also, I'm being quoted right around $1,100 yr for a place built in 1991 with liability of $300,000, and a $1,000 deductible (personal property $200k). I do not want to increase my liability coverage at this point. Do you think I can beat that $1,100/yr number?

What is the cost to rebuild? 

Also, consider increasing the deductible for maybe a year, and you can search for something cheaper in the meantime. 

Affordable does exist, it may come at the cost of compromising other things.

Good luck!

I live in Sacramento with both personal and investment properties. I don't have earthquake insurance on any of them, and neither does anyone I know. IMO the potential payout is too low verses the cost and actual risk. 

Flood insurance depends on the location. Do a Google search for Sacramento Flood Map. There are some locations considered risky, but not as risky to require the insurance. During the housing boom there were a bunch of properties built in high risk areas, but for dubious reasons, were categorized as lower risk not requiring insurance. I believe the Feds have addressed that now though.

$1100 a year for a duplex seems about right.

@David G  That's what i was thinking. They are giving me replacement cost re: cost to rebuild.

@Derek Daun Great advice. Appreciate your insight. I forgot about the changes the Feds made after New Orleans.

@Embert Madison jr

Also depends on if you are financing the property or if you own it?  

Some lenders will require you to have flood insurance depending on where the unit is located in Sacramento based on the rating from FEMA FEMA for Sacramento.

call around. I got up to $1500/yr from state farm (or farmers) then $650 from nationwide. Its mind boggling that they are all so different but they are. I dont have earthquake either ( i may consider it if i was in the bay or its a old/very old house)

@Embert Madison jr

I keep my deductibles around $1,000. I don't carry the earth quake or terrorism coverage for my commercial properties.  

My best insurance rates have came from.... Safeco, Allied and Encompass.


@Frank Romine

 Thanks! Allied had not only the best rate but also a higher coverage amount. Appreciate all the feedback. Now time to find a tenant!

@Embert Madison jr

Interesting my Allied premiums are usually higher than Encompass.   
Glad it worked out for you.


@Embert Madison jr I bet you have this all squared away.  but those prices seem right, but your coverage seems really low.  The cost difference between 300k and 1mil on liability is nearly negligible and 300k doesn't go very far.  In terms of EQ and Flood.  They are standard exclusions, but they are also relatively affordable.  Sac seems to be relatively EQ proof and if your not in a flood zone, then your probably ok.  But a quote could be worth checking into.  If you ever have any questions feel free to reach out.  

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