A property policy that lists each peril it will cover and pays only when a loss is caused by one of those listed perils is best described as which type of form?
a.A liability-only form
b.A self-insured retention form
c.A named-peril form
d.An open-peril form, sometimes called a special form
Explanation
A named-peril (also called specified-peril) form provides coverage only for the perils that are specifically listed in the policy. Open-peril or special-form coverage works in the opposite way: it covers all direct physical loss except for perils that are specifically excluded.
Law Reference: ISO Basic Form (CP 10 10) concept; Cal. Ins. Code §675 et seq.This topic, taught in full in the California Property & Casualty Broker-Agent guide. California Property & Casualty Broker-Agent Study Guide — 2026 Edition — PDF + EPUB, $24.99 · 14-day refund →
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Related questions on this topic
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