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Our Financial Strength

More than $15 billion in claim-paying capacity

When it comes to financial strength, California Earthquake Authority (CEA) is on solid ground:

  • Largest provider of residential earthquake insurance in the U.S.
  • Writes 76 percent of all residential earthquake policies sold in California (as of 2015).
  • More than 1 million policies in force.
  • Annual premium revenue more than $630 million.
  • Over $15 billion in claim-paying ability.

CEA's financial strength has been rated as A– (Excellent) since 2002 by A.M. Best Co., the world's oldest and most authoritative rating agency of insurance companies.

Where does a premium dollar go?

Most of the funds CEA collects from premiums are reinvested into the business of insuring policyholders, not overhead. By law, only 6 percent of CEA's premium income can be spent on operating expenses.

CEA is not-for-profit, privately funded

CEA is a not-for-profit, privately funded, publicly managed organization that provides residential earthquake insurance and encourages Californians to reduce their risk of earthquake loss. 

  • CEA only offers residential insurance.
  • Our assets are available only to pay claims to homeowners and renters who have protected their homes by purchasing a CEA earthquake policy.
  • As a not-for-profit, CEA does not pay federal income tax, so our reserves used to cover claims can grow more quickly.
  • CEA is actuarially sound, which means we have been deemed by financial experts to have sufficient funds—more than $15 billion—to pay claims from even a devastating earthquake.

Calculate Your Earthquake Insurance Premium

801 K Street, Suite 1000
Sacramento, CA 95814

Phone: (916) 325-3800
Toll Free: (877) 797-4300

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