Agreed. There is no way that a startup is capitalized enough to survive a payout. Their CEO and investors must be sweating bullets over the next few days, worrying if an earthquake hits closer to LA

I just looked into it. Their max payout appears to be $10,000. That's not a lot. It's not to rebuild your house or anything, it's just to pay for a hotel for a while and maybe some new food.

I always considered earthquake insurance a waste of money. The premiums are high and deductibles are quite high so a quake would have to be very strong to do enough damage that cost of repair was more than the deductible. And if that was the case then there would be widespread damage and a huge amount in claims. Seems unlikely even a big insurance company could remain solvent and pay out.