Property Insurance FundamentalsQuestion 204 of 474
Under an open-perils (all-risk) property form, a loss is covered:
a.Only if the insurer approves in advance
b.Unless it is caused by a specifically excluded peril
c.Only for perils listed on the declarations page
d.Only if the peril is specifically named
Explanation
An open-perils form covers any cause of loss that is not specifically excluded, so the insurer must prove an exclusion applies to deny a claim. This is broader than a named-perils form, which covers only the perils listed and requires the insured to prove the loss came from a named peril. Open-perils coverage generally costs more because it is broader.
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