Business Definition for: named peril policy
named peril policy
insurance contract under which covered perils
are listed. Benefits for a covered loss are paid to the policyowner. If an unlisted peril strikes, no benefits are paid. For example, under the standard fire policy, fire is a particular listed peril. If an insured's
home burns, he will be indemnified.
See also
all risks
Related Terms:
insurance that covers each and every loss except for those specifically excluded. If the insurance company does not specifically exclude a particular loss, it is automatically covered. This is the broadest type of property policy that can be purchased. For example, if an insurance policy does not specifically exclude losses from wind damage, or from a meteor falling on the insured's house, the insured is covered for such losses.
Referring Terms:
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