Yes, EQ insurance is expensive, AND you usually have a deductible that equals 10% of the coverage (entire replacement cost). So, if you have a $400,000 home in SoCal, you eat the first $40,000. Nice, huh?
Always keep in mind what my ins. agent friend says: "Insurance companies are in the PREMIUM-COLLECTING business, NOT the claim-paying business".
That's why a certain percentage of EQ-damaged homes happen to 'die' of fire damage.
Sue