Under a commercial property earthquake endorsement, what defines a single earthquake or volcanic eruption?

The definition of a single earthquake or volcanic eruption under a commercial property earthquake endorsement is typically based on a specified period during which multiple seismic events are considered part of the same occurrence. In this context, a period of 168 hours, or one week, is used to group related earthquakes or volcanic eruptions together. This means that if multiple seismic events occur within this timeframe, they will be treated as a single occurrence for the purpose of coverage limits, deductibles, and claims processing.

This understanding is crucial for policyholders because it helps clarify the extent of coverage they have in the event of natural disasters. If multiple earthquakes strike within a week, the insured can submit a single claim, making it easier to manage compared to treating each event separately. This definition ultimately helps in accurately assessing risk and ensures that businesses have the appropriate coverage for potential losses caused by earthquakes or volcanic activity within the defined timeframe.