Remember Cause Of Loss
Cause Of Loss Technical Terms
Cause Of Loss : Formerly know as "peril", cause of loss is the sudden and accidental event, which starts the damage to the insured property, e.g. fire, windstorm, earthquake, and war. Only certain causes of loss are insured. Policy forms use two techniques to distinguish insured from uninsured causes of loss. One has been known as "Named Peril" or closed, because it lists the causes of loss, which it insures. This includes the basic and broad forms below. The second technique formerly was known as "All-Risk" and is sometimes called "Risk of Direct Physical Loss". This form covers all causes of loss except those specifically limited or excluded.