Government Won’t Cover All Losses : Assistance: Officials caution that loans and grants offered through federal and state sources are not intended to serve as insurance programs.

As more and more applications for federal and state disaster assistance are processed, victims of the Northridge earthquake are finding out that not everything they lost may be replaced with a government loan or grant.

Although you might qualify for a loan to replace your big-screen television, you won’t get the money to replace your mink coat. And while you could borrow money to replace your Noritake china, you won’t get a grant to replace grandma’s antique Minton place settings.

If you don’t qualify for a Small Business Administration loan, expect even less. Under the state Individual and Family Grant Program, if you lost a cherrywood dinette set, for instance, be prepared to accept a dining table with a Formica top.

“The government programs are not intended to be an insurance program,” said Rita Kepner, a spokeswoman for the Federal Emergency Management Agency. “Part of the disappointment of many people is that they are not going to get all these things without having bought any insurance.”

Still, government officials encourage those who suffered damage or losses as a result of the Jan. 17 temblor to register with FEMA for assistance before the March 18 deadline--which is set 60 days after the President’s disaster declaration--though it may be extended.

“No matter what your situation is, you should apply,” said Rick Jenkins, a spokesman for the SBA. “You just don’t know for what you qualify. Get into the system and see what kind of help is available.”

There are both state and federal programs to assist all levels of victims, from those who simply suffered cracks on the wall and broken dishes, to those displaced by the quake and left jobless.

For those who have become unemployed as a result of the earthquake, including those self-employed, there is a state program that provides weekly benefit payments. If someone was left unemployed by the quake, and thus is facing a foreclosure on their house, they may qualify for a grant that will pay the mortgage until work is found.

FEMA’s Disaster Housing Assistance Program provides immediate grants to individuals whose homes have become uninhabitable or to those who need start-up funds to make their homes habitable.

“The idea is to give you a little bit of money and get you back into the house,” FEMA’s Kepner said.

Most victims will be referred to the SBA, which despite its name also provides loans to homeowners and renters in areas declared disasters by the President. SBA may provide loans as high as $200,000 for structural damage to a residence and $40,000 for personal property losses.

Business owners may receive loans as high as $1.5 million, and may also qualify for a second program called Economic Injury Loans, which provide working capital for companies hurt financially by the quake.

Jenkins said that even people who can pay for repairs with savings or credit cards may be eligible for a low-interest loan because depleting savings or paying a high interest rate could be considered financial hardships.

Jenkins said SBA loans can be used to pay for the replacement of most personal property, except luxury items. For instance, money to replace a Joan Miro lithograph would not be provided, but a loan would be available to buy a painting to go over the couch. An antique vase would have to be replaced with a “functional” vase, according to Jenkins.

Normally, auto insurance benefits must be used to repair any quake damage to a vehicle, but SBA loans may be used to pay the deductible or if the vehicle is underinsured.

The state’s Individual and Family Grant Program is seen as one of the last resort assistance programs for victims who do not qualify for a loan. The program is designed to replace only those items deemed necessary for everyday life. So while the program considers a television essential, it will provide only for a standard set and does not consider a videocassette recorder a necessity.

If within a five-bedroom house, for instance, only three of the bedrooms were used for sleeping, the program would provide funds to refurbish only those three rooms. The other two are not covered.

“We are not an insurance or replacement program,” said Ben Dew, a spokesman for the IFGP. “We look only at the necessities a person needs to live.”