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Residing in an earthquake or cyclone-prone area? Secure your property with home insurance policy

Published on 24th Aug 2020 EST Read time 4 Mins

Purchasing a home is probably the biggest investment of a lifetime.Hence, it is important to safeguard its structure and contents against unforeseen events and naturalcalamities to prevent sudden monetary losses. According to reports, about 58.6% of the regions in India are prone to earthquakes and 8.5% to cyclones. Hence, including natural disaster cover in your home insurance policy is imperative for the security of your property and loved ones.

In India, natural calamities have wreaked havoc many times in the past decade. The Kashmir floods and cyclone Hudhudin Andhra Pradesh in 2014,Uttarakhand floods in 2013, cyclones in Tamil Nadu in 2011 and 2012, Kerala floods in 2018, and cyclone Fani in Odisha in 2019 have resulted in the loss of many lives and assets worth several crores. Apart from these, Chennai, Kolkata, Assam, and other states have also experienced devastating cyclones, floods, earthquakes, landslides, and storms in the past decade. Considering this, securing your home against natural disasters with the right insurance plan is one of the wisest things to do.

What is a natural calamities insurance?

Natural disaster insurance is not a separate insurance policy but can be included in home or property insurance plans. In case your home insurance plan does not cover natural disasters, you may end up losing an exorbitant sum of money in property damage during earthquakes, floods, storms, and other unforeseen events. While a standard homeowner’s insurance may cover many situations, having a comprehensive home insurance policy that covers all possible damages to your home is the right option.

Types of insurance policies for natural disasters – inclusions and exclusions

When you are taking home insurance, make sure you select a plan that offers protection against natural disasters that are common in your location. Some home insurance policies may not cover earthquake damage. Hence, you must go through the policy inclusions and exclusions minutely and ensure that damages due to earthquakes are covered, especially if you experience frequent tremors in your region. Also, make sure that your insurance plan also covers other natural disasters that your region is prone to.

Most insurance companies offer three options that may help secure your home against natural disasters. Here’s a look at the plans and their inclusions and exclusions:

  • Standard Fire & Special Perils Policy:
    Inclusions: The Standard Fire & Special Perils Policy helps safeguard your home against unforeseen events, such as accidental fire, lightning, storm, flood, cyclone, explosion, earthquake, and inundation. It covers damages caused due to riots, strikes, and other man-made perils. Terrorism cover is optional and you may have to pay a nominal premium to avail it.
    Some insurance companies offer earthquake coverage as an add-on. The premium amount usually depends on your house’s geographical location.
    Exclusions: Damages and losses due to burglary, theft, or larceny are not included in safe fire and special perils policy.

  • Comprehensive Home Insurance Plan:
    This plan is perfect for securing your property against natural calamities, man-made perils as well as theft and burglary. It also covers damages to the structure and content of your home, such as furniture, fixtures, television sets, and electrical appliances.
     We do not cover damages due to willful misconduct or negligence. We also exclude damages and losses related to pollution, wear and tear, contamination, missile testing operation, and overflowing of water tanks.

  • Cover for Earthquake in Home Insurance Plan
    According to reports, over 60% of India’s area is susceptible to devastating earthquakes. When the intensity is over 6.0 on the Richter scale, it can cause immense damage to life and property.
    If your house is in a region prone to earthquakes, taking an earthquake insurance plan is probably the smartest decision. The natural calamity can cause immense damage to your property and belongings within seconds. Hence, taking earthquake insurance is one of the right ways to cover your house and belongings and save yourself from unexpected expenses.
    Inclusions: An earthquake insurance plan covers damage to the structure and the contents of your house. Your insurer may also cover the damage to the valuables inside the house.  


While naturalcalamities are uncontrollable and unpreventable, the right thing that you can do is buy HDFC ERGO homeinsurancepolicyand secure your home and belongings. If you reside in a region where natural disasters are common, a comprehensive home insurance policy is the right option. In case you are unable to decide on a plan, get in touch with us and we will help you through the process.

This blog is written by Deepika Mathur, CEO Markel, Veteran in Insurance Industry

Expert Opinion

Deepika Mathur highly recommends opting for Home Shield Insurance to ensure your dream home is protected always! She also recommends tenants to opt for Home Shield Insurance to cover their valuable home belongings like portable electronics and furniture.

Disclaimer: The above information is for illustrative purpose only. For more details, please refer to policy wordings and prospectus before concluding the sales. UIN: Home Shield Insurance IRDAN125P0001V01201718, Standard Fire & Special Perils Insurance IRDAN125P0015V01200203 and Home Insurance( Revision)- Multi Year Policy HDE-OT-P14-70-V02-13-14" UID No. D2HO869.


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