Open Perils refers to property insurance that insures against loss of insured property for all reasons other than those specifically excluded. This method of determining covered causes of loss in a property policy is traditionally referred to as “all risks” coverage. Many practitioners continue to use the term “all risks” to describe this approach to determining covered causes of loss in a property insurance policy. However, it is no longer used on insurance policies due to concerns that the word “everything” suggests more coverage than it really is. Because of this concern, some industry professionals have begun to use the term “open risks” or “special risks” instead of “all risks”.
vRelated Terms#
- All Risks Coverage
- Causes of Loss Forms
- Commercial Property Policy
- Named Perils Coverage
- Property Insurance
- Special Causes of Loss Form
- Special Perils