Understanding "All Risk" Coverage in Your Homeowner's Policy

What does "All Risk" coverage mean in your homeowner's insurance policy, and what does it apply to? Let's break it down:

Definition of "All Risk" Coverage

"All Risk" coverage means every cause of loss is covered except those specifically excluded. This typically applies to:

• Dwelling (Coverage A)

• Other Structures (Coverage B)
  

What's Covered?

Your policy should have a section titled "SECTION I -- PERILS INSURED AGAINST," stating something like:

"We insure against direct physical loss to property described in Coverages A and B. We do not insure, however, for loss caused by:"

This is followed by a list of exceptions.

Common Exceptions

While not comprehensive, common exceptions include:

1. Freezing of plumbing (if heat isn't maintained)

2. Mold, fungus, or wet rot

3. Wear and tear

4. Mechanical breakdown

5. Pollutant discharge

6. Foundation settling

7. Damage from birds, rodents, or insects

8. Vandalism or theft in vacant buildings (over 60 days)
   

Exclusions

Your policy will also have a "SECTION I -- EXCLUSIONS" listing losses not covered, regardless of cause. These often include:

1. Ordinance or Law (code upgrades)

2. Earth movement (earthquakes, landslides)

3. Flood or ground-level water accumulation

4. Power failure

5. Neglect

6. War

7. Nuclear hazards

8. Intentional loss

9. Governmental action

10. Construction defects
    

The Good News

Despite these exceptions and exclusions, many common claims are typically covered, including:

• Fire

• Smoke

• Wind

• Rain intrusion

• Theft

• Vandalism

• Water discharge from broken pipes

Key Takeaway:

Insurance generally covers sudden, accidental, unforeseeable, or unavoidable events. If your loss falls into these categories, there's a good chance it's covered.

Remember: Always consult your specific policy or a professional (like a public adjuster) for a complete understanding of your coverage.