In insurance, the word peril refers to the specific event or cause that leads to a loss. If a storm damages your roof or a fire destroys your property, the storm or fire is the peril.
Understanding what perils are in insurance and whether your policy covers them is one of the most important parts of protecting your home, vehicle, or business in Nebraska.
Common Perils in Insurance Policies
Most standard policies cover a list of named perils. Some of the most common include:
- Hail
- Wind
- Fire
- Theft
- Vandalism
- Lightning
- Explosions
- Falling objects
These events must directly cause damage for coverage to apply. If a peril is not listed in your policy, it usually isn’t covered.
Named vs. Open Perils
There are two basic types of coverage:
- Named peril policies only cover events specifically listed in the contract.
- Open peril policies cover all events except those specifically excluded.
For example, many Nebraska homeowners deal with hail and wind damage, so those perils are often included. Flooding, however, is usually excluded unless you add separate flood coverage.
Check with your agent to see which type of coverage you have.
Why Perils Matter in Nebraska
Weather in Nebraska can be unpredictable. From hailstorms in the spring to tornadoes in the summer, understanding your policy’s list of covered perils is essential.
Learn more in this guide on perils and hazards from Progressive.
Not Sure What Your Policy Covers?
If you don’t know what perils your policy includes, it’s time to review your coverage with a local expert.
Talk to Ritch Nelson at New Frontier Insurance Agency. He’ll explain your coverage clearly and help make sure your home and belongings are protected.