Difference in Conditions (DIC) insurance provides coverage designed to close specific gaps in standard property insurance policies. This type of policy provides catastrophic coverage for perils that present severe property exposures, such as flood and earthquake. The DIC policy is designed to broaden coverage by providing additional limits of coverage for specific perils and for perils that are excluded from standard policies.
Earthquake insurance is a separate property policy that covers the cost to replace or repair your damaged property.
A typical policy covers against:
- Business personal property
- Loss of business income
- Earthquake sprinkler leakage
- Betterment or repairs required by local ordinance or law
Beware: You cannot count on being able to purchase coverage immediately after an earthquake; insurers usually suspend sales. If you’re not already covered, you likely will not be able to secure insurance as a precaution against expected aftershocks.