Canadian Earthquake – How Equipped Are You?

Did you feel the earthquake that struck south eastern Ontario and parts of Quebec on June 23, 2010 at 1:41 pm EST?

It was sheer luck, the magnitude was only 5.0 according to the US Geological Survey, and no extreme damage was documented. The earthquake originated in Ottawa, the accounts say it was 61km north of the city.

Individuals who experienced the quake called it “gradual rumbling, as if construction was going on on the lower floors of buildings” One person even experienced it as high as the ninth floor of her office building. The rumbling sensation may have been small, but Lorne clearly felt the earthquake.

Even though natural disasters happen very sporadically in Canada, they do happen and it brings home to us all how exposed we all are. It makes you think, how ready are you and your household for the big one?

Along with regular emergency preparedness, part of your provision should include life insurance.

Earthquakes are amongst the most expensive natural disasters, together with floods and tornadoes. When looking at statistics for damage taking place from natural disasters, from 1950 to 2001, 30% of this was attributed to earthquakes. Although, they account for only 9% of the human cost, fading in comparison to famine, which killed 42% of people, but accounts for only 4% of the total destruction over those years.

The facts and figures make troubled reading, people affected by natural disasters in the 80’s was 147 million, which rose by another 64 million in the 90’s, with lives lost going from over 86000 down to 75252 per year in the same periods.

With a large increase in economic impact from natural disasters since the 1960’s we also see an increase of occurrences, which isn’t good news.

With the prevalence of natural disasters skyrocketing and the amount of lives influenced increasing by the decade, one can’t help but think of how to secure their family’s future in case they find themselves caught in nature’s fury.

The five main Canadian insurance businesses we surveyed do provide death benefits for you and your family if such disasters happen, but you need to check the policy carefully if you choose not to use them and go elsewhere. If you are urged not to travel somewhere, such as a war zone and you do, be aware that this is one exclusion that insurance companies put in place on their schemes.

Written by Lorne S. Marr, the president of LSM Insurance and mortgage life insurance adviser