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Worst-Case Scenarios

Just in time for the 25th anniversary of the Loma Prieta earthquake on Friday, the aptly named risk-management firm Risk Management Solutions estimates that the next Big One could potentially cost $200 billion in (insured) property damage. A 7.9-magnitude quake would have 32 times the destructive force of the 6.9-magnitude Loma Prieta, which claimed 63 lives and caused $6 billion in damage. RMS notes that the most likely location for a severe earthquake is on the East Bay's Hayward Fault, which could reach a magnitude of 7.0. [SF Business Times]