What is ‘All-Perils’ Insurance Coverage?

What is ‘All-Perils’ Insurance Coverage?

Understanding what insurance providers mean when they talk about all-perils coverage.

If you own a business and are looking for the right commercial property insurance in Queen’s County, New York, then you might be faced with the decision between named perils coverage and all-perils coverage.  With a name like all-perils, you might assume that this insurance will protect you from any type of damage that your building and property may face.  However, every insurance policy has limits, and all-perils coverage is no different.  Here’s is what all-perils insurance will and will not cover for your business.

 What’s Covered?

As the name suggests, all-perils coverage is more comprehensive than named peril policies.  While named peril policies will only offer coverage for the specific hazards named in the policy, all-peril policies take the opposite approach.  When you secure all-peril insurance, your business will have coverage for all hazards except for the exclusions specifically named on your policy.  So long as your insurance provider can’t prove that the damage is excluded, it will be covered.

What Isn’t Covered?

This, of course, begs the question; what hazards are excluded from all-peril policies?  While every policy is different and therefore has their own specific limits, some of the most commonly excluded perils include the following:

  • Acts of war
  • Earthquakes
  • Floods
  • Mudslides
  • Seepage and sewer backups
  • Governmental seizure or destruction of property
  • Boiler explosions
  • Power failure
  • Electrical damage to electrical devices
  • Employee dishonesty
  • Wear and tear
  • Rust and corrosion
  • Fungus and mold
  • Infestations (animal or insect)
  • Mechanical breakdowns
  • Theft from a building under construction
  • Pollution
  • Intentional loss

Fortunately, if you do need coverage for some of these common exclusions, you can always secure specialty insurance or add an endorsement onto your commercial property policy

This is what you need to know about the coverages and limitations of all-perils insurance.  Do you have additional questions regarding your commercial property insurance in Queen’s County, New York?  If so, then don’t hesitate to contact the experts at 01 Insurance.  We are ready to assist you with all your business insurance needs today