All Risk Insurance

All risk insurance (or all peril coverage) is a term used to describe comprehensive property and liability insurance policies. Many insurance policies are written on an all risk or all peril basis, meaning the policies will respond in the event of a claim unless there is a specific exclusion on the particular policy. If there is a loss and no exclusion applies, the policy will pay for the claim.

The opposite of all risk (or all peril) coverage is named peril coverage. This is when a property or liability insurance policy only responds to specific causes of loss that are outlined or listed on the particular policy. If there is a claim and the cause of loss is not specifically included on the policy, the claim will not be covered by the insurance.

All risk or all peril policies are typically more beneficial to the policyholder, compared to named peril coverage, as all risk is more comprehensive in nature and covers a wider range of possible types of loss.

These Policies Can Also Be Called:

• All Risk Property coverage
• All Risk Inland marine coverage
• All Risk Transit coverage
• All Risk Cargo coverage
• All risk marine coverage

We work with a number of insurance carriers who write all risk policies on both the personal lines side and commercial side.

On the personal side, the high-net-worth carriers typically default to offering all risk policies instead of named peril policies.

On the commercial side, the policies are typically also written on an all risk basis, but can be written on a named peril basis depending on the type of coverage and situation. The majority of all risk policies typically contain similar exclusions regardless of the insurance carrier. For example, loss due to war or war related acts is almost always excluded on commercial property policies. Similarly, flood is almost always excluded from personal or commercial property policies.

Have any questions or want to discuss all risk insurance or all peril coverage in more detail? Let’s chat!