At their boundaries, the plates move against each other, creating massive pressures. These pressure gradually build up until finally there is a sudden movement.
At least as far as earthquakes are concerned, the region is particularly prone.
It lies on the edge of the gigantic pacific plate, on the infamous 'ring of fire' - an arc of plate boundaries encircling the Pacific Ocean.
The boundaries of the Pacific plate are very unstable, causing earthquakes and volcanic activity along the west coast of the Americas as well as east Asia.
At their boundaries, the plates move against each other, creating massive pressures. These pressure gradually build up until finally there is a sudden movement.
In this case the Cocos plate and the Caribbean plate are moving towards each other and one is being subducted (forced underneath) the other.
Central America is also home to a chain of active volcanos that stretch from Mexico City all the way down the isthmus.
According to seismologists, the volcanic geological patterns mean the effect of earthquakes is more destructive than might otherwise be the case.
But it is not just geological disasters that hit here - floods are also common.
Human culprits
Hurricane Mitch struck in November 1998, killing 9,000 people.
Since then periods of heavy rain have impeded reconstruction work.
Nature is not the only culprit. Man-made problems exacerbate the impact of natural disasters.
Intensive farming and deforestation of the region's steep hillsides mean the land is unstable and prone to slipping.
And dense concentrations of people and poor construction methods all make the casualty toll far higher than in less populated places.
Central America is vulnerable to nature's whims but man does not help.