Virginia lawmakers are looking to avoid the breadth of the financial distress state residents endured during last year’s rare earthquake.
The Senate passed a bill Friday requiring insurance companies to inform policyholders whether they are covered in case of an earthquake. Many of those affected by the August quake thought their policies would cover the damage only to find they didn’t.
The high volume of uninsured victims was a sticking point for Gov. Bob McDonnell when he pleaded with the Obama administration to provide emergency aid to homeowners and small businesses in Louisa County, the epicenter of the 5.8 magnitude quake. After denying an initial application for help, the Federal Emergency Management Administration ultimately awarded more than $6 million in disaster aid to individuals.
On Friday, McDonnell announced an additional $3.2 million to help earthquake-damaged Louisa Elementary School. Albemarle, King George, Culpeper, Fluvanna, Goochland, Louisa, Orange and Spotsylvania counties have also received assistance.
The bill, which passed the Senate 32-6, also mandates insurance companies inform individuals how they can obtain earthquake coverage. The bill now moves to the House of Delegates for a vote.
