[indemnity]

Different country, but for the Christchurch earthquake in 2011:

- our equivalent of CEA (EQC) did indeed run out of money, although it’s mostly reinsurance and govt backed

- insurance companies went under, because even for a small city (400k), costs ran to $40 billion

- it’s now very very expensive to get earthquake coverage, in some parts of the country you are paying multiples of what less earthquake prone parts of the country pay, so people don’t bother. so they’ll lose everything next time, and we’ll foot the bill as a country

Scale of California probably means amplification if these effects, hundreds of billions in losses.

[secabeen]

This. The CEA is not government-backed.