Shiver My Timbers!

April 18, 1906 is a date many California commercial insurance companies will know well. It marks the major earthquake that struck San Francisco. Measuring 8.25 on the Richter scale, the quake is remembered not least for the fires that raged for up to three days afterwards.

It had a major impact on how the insurance industry has evolved since then. Back then, the government did not expect to provide disaster relief as it does now. That meant the entire burden of managing the losses was squarely on the shoulders of the insurance industry.

People interested in taking out California commercial insurance should take the time to discuss their needs with an experienced agent, as earthquake risk is generally excluded from standard Californian policies. The exception to this is fire, which occurs as the result of an earthquake, which has been included in many policies since 1906 – after the San Francisco experience.