When you hear Perils, what do you think of? Maybe you are asking yourself - What is an Insurance Peril? What makes it different from other insurance coverages? A peril is considered to be any loss that is direct, sudden and accidental. When you file an insurance claim on a valid peril, it’s covered by Open Peril Coverage.
At HomeFirst® Agency , all mobile home insurance policies include Open Peril Coverage because keeping your family and your home protected is always our first priority.
Some Events That May Be Considered A Peril:
Accidental glass breakage
Falling objects, such as tree limbs
Vehicle damage to the property
Any event that is direct, sudden and accidental unless it’s specifically excluded from your homeowners policy. Read your policy to see what perils are covered or excluded.
The Named Peril vs. Open Perils (All Risk) Insurance Policy
Now that you know what a peril is, let’s talk about the difference between a Named Peril Insurance Policy and an Open Peril Insurance Policy.
In a Named Peril Insurance Policy, the insurance policy will only provide insurance coverage on losses due to particular perils or damages that are specifically named in the insurance policy. It’s important to understand what perils you are insured for so you know what to expect in a claim. Since the named peril insurance policy only covers specific perils, it is usually less expensive than an all risk or all peril insurance policy. Additional coverages may sometimes be added by endorsement.
An Open Perils, All Risk or All Peril Insurance Policy is an insurance policy that covers all perils except perils that are specifically excluded in the insurance policy. The all risk insurance policy is usually more expensive than the named peril policy because it is more comprehensive than the named peril insurance policy. It usually has significant advantages over a named peril policy because of its more extensive coverage, sometimes including higher special policy limits.
How to Report a Claim for a Covered Peril
A claim for damage caused by a covered peril on your homeowners insurance policy is reported the same as any other claim on that policy. You will need to report the claim online or over the phone to your insurance company.
Review the terms of your homeowners insurance policy to see what perils are covered. If you find that there is a peril you are not covered for but want to add, give us a call at 1-800-664-9309 and we can help you find the insurance policy that best fits your needs!