Standing by you in every crisis. Supporting our clients through the recent earthquake

The earthquake that struck on Friday, March 28, 2025, serves as a critical reminder of the vulnerabilities within Thailand’s economic and business landscape. Although earthquakes are rare in Thailand, their occurrence can have far-reaching impacts on the insurance industry, key industries, and investor confidence.

Key impacts to watch

📉 Investor Confidence – Natural disaster risks may cause investors, particularly foreign ones, to reassess Thailand’s risk profile, including earthquake exposure.
🏨 Tourism Industry – Widespread news of the earthquake may deter travellers, reduce tourist confidence, and lead to cancellations.
🏢 Real Estate Market – Confidence in high-rise buildings may be affected, while demand for low-rise residences could increase.
💰 Finance & Credit Sectors – Banks and financial institutions may face rising non-performing loans (NPLs) from businesses impacted by the event.
 

Where does the insurance industry stand?

This event highlights the crucial role of insurance in risk management for both individuals and businesses.

✔ Property insurance – Most Property All Risks policies cover earthquake damage, although coverage limits (sub-limits) may apply.
✔ Contractor’s All Risks Insurance (CAR) – Earthquake damage is generally covered under policy conditions.
✔ Motor insurance – Only first-class (Comprehensive) motor insurance covers earthquake damage.
✔ Insurer risk management – The ability to pay claims depends on insurers’ reinsurance arrangements and excess-of-loss structures.
✔ Business interruption insurance – Operational disruption, loss of income, and financial loss due to earthquakes are typically covered.

Your trusted partner in any situation

💡 Coverage guidance

We review your policy to ensure earthquake coverage and recommend necessary adjustments.

📑 Claims assistance

We provide guidance on the claims process and coordinate with insurers for a smooth experience.

🤝 Claims negotiation

We advocate for fair, timely, and complete claims settlements.

📊 Risk management

We help clients enhance coverage and implement risk mitigation strategies for unforeseen events.
 

FAQs

1. Does property insurance cover earthquake damage?
Most Property all risks Insurance policies include earthquake coverage. However, we recommend reviewing your policy details or consulting your insurance broker for confirmation.

2. How can I file a claim if my building is damaged by an earthquake?
If your property has been impacted, please gather the following documents to speed up your claim process:
• Take photos and document the damage.
• Notify your insurance broker immediately.
• Prepare necessary documents such as photos, damage reports, claim forms, repair estimates quotation, and receipts.

3. How will my insurance policy compensate for earthquake damage?
If your policy includes earthquake coverage, the insurer will cover repair or replacement costs based on the policy’s terms and conditions.

4. Can I proceed with urgent repairs before filing a claim?
Yes, if urgent repairs are necessary to prevent further damage or ensure safety. However, you should:
• Take photos before and after the repair.
• Keep all repair estimates and receipts.
• Inform your insurance broker beforehand if possible.

5. Can accidental death or injury from an earthquake be claimed under accident or life insurance?
Yes, personal accident, health, and life insurance policies typically cover incidents resulting from earthquakes. This means you file claims for each events in accordance with the terms of your policy. 

6. If an earthquake causes harm to tenants or residents in a building, is the property owner liable?
Earthquakes are considered force majeure events, meaning property owners are typically not held liable. However, liability insurance policies should be reviewed for specific coverage details.

7. Can businesses with Business Interruption Insurance claim losses from an earthquake?
Yes, if earthquake damage is covered under the property insurance policy, business interruption claims can be made accordingly.

8. Does motor insurance cover earthquake damage?
• Comprehensive (First-class) insurance – Yes, it covers earthquake damage.
• Second-Class (2, 2+), Third-class (3, 3+) insurance – Typically, these do not cover earthquake damage. Please review your policy details.

9. Can insurers handle large-scale earthquake claims?
Yes. The insurers recommended by us maintain strong financial stability, meet the Capital Adequacy Ratio (CAR) requirements set by regulators, and have robust reinsurance arrangements, ensuring claim payment capability.

10. Can I update my insurance policy to include earthquake coverage in the future?
Yes, we recommend discussing policy adjustments with your insurance broker to ensure adequate protection against earthquake risks.

Connect with us on our other platforms at: