Aug 06, 2020
We have had an overwhelming response from brokers who want to learn more about offering affordable earthquake coverage as an employee benefit. Below are some FAQs about Jumpstart:
What are the average premiums?
The average premium is $20. Premiums range from $11 to $33 per month for $10,000 of personal lines coverage. The closer a zip code is to a fault, the higher the premium.
How does Jumpstart determine payment eligibility?
Claim eligibility is based on shaking intensity. To be eligible for a payment, you must be in a location where the peak ground velocity exceeds 30 cm/seconds according to the U.S. Geological Survey’s California ShakeMap. About a Richter Magnitude 6 is the smallest to cause this level of shaking.
How does the claims process work?
After a qualifying event, Jumpstart texts the customer who replies “yes” to confirm expenses. Payment is then deposited directly into their bank account. There is no paperwork or deductible.
What if there are multiple earthquakes in a year?
Jumpstart covers two payouts in a policy year. However, only one payout is made if there is a severe aftershock within seven days of a qualifying event. A second payout will be made if the aftershock is more than seven days after the qualifying event.
Who decides Eligibility?
View all of the data that is used to determine the payout zone is public. View the Ridgecrest 2019 Jumpstart payout map.
How are brokers compensated?
There is an 8% commission to brokers who have a P&C license. For brokers without a P&C license, the following are one-time lump-sum referral fees:
- $1,000 after reaching the 25th attributable policy
- Additional $2,000 after reaching the 60th attributable policy
- Additional $3,000 after reaching the 100th attributable policy
- Additional $4,000 after each set of 50 additional policies
Additional FAQs are available from Jumpstart. Contact your LISI Regional Sales Manager for more information.
