A probabilistic method is proposed here to evaluate the risk of structural damage due to earthquake-induced liquefaction by considering liquefaction as a subsidence problem. The model considers all the site-related soil properties and geometric conditions, the proposed type and size of structures, and the seismicity of the area. The risk of structural damage is estimated considering three damage criteria: absolute and differential settlement, and the rotation of a structure. Liquefaction does not always lead to damage. Since a considerable amount of uncertainty is expected in the estimation of most of the parameters, a risk-based damage estimation procedure is suggested.