Most standard homeowners policies exclude damage caused by earthquakes, and many also exclude other kinds of earth movement such as landslides, mudflows and sinkholes. The exact wording varies, which is why it pays to read this section of your policy closely instead of relying on a general impression.

In regions known for seismic activity, earthquake coverage is often sold as a separate policy or as an endorsement added to your existing one. It tends to come with its own deductible, which is frequently calculated differently from your regular deductible and can be much larger. Understanding how that deductible works is just as important as knowing whether you have the coverage at all.

Even if you do not live somewhere famous for earthquakes, ground movement can still happen. Ask your agent which types of earth movement your policy excludes, whether any related damage, such as a fire caused by a quake, would be covered, and what adding protection would cost. Then decide based on your location, your savings and how you would manage a major repair on your own.