Arkansas is considered a high seismic hazard area because it is in the New Madrid seismic zone, an area that saw one of the most severe earthquakes on record in the early 1800s. The I.I.I. points out that standard homeowners and renters policies do not cover shake damage from earthquakes.
Deductibles vary by territory.
In the northeast rating zone, which has a higher risk of a major quake, policies carry a maximum 15 percent mandatory deductible, with the option of choosing higher deductibles. According to the Arkansas Insurance Department, most people in the area nearest to the New Madrid fault buy earthquake coverage. However, fewer people in the state s other seismic zones purchase earthquake insurance. Earthquake damage to automobiles is covered under the comprehensive portion of an auto insurance policy. In cases of extensive damage, do not go into a home or office until a professional can examine its structural integrity.