A “named perils” insurance policy typically covers only the risks explicitly listed in the policy document. While a “deluxe” version may offer broader coverage than basic named perils policies, several perils might still not be included. Here are some common perils that are generally not covered:
Flood Damage: Standard home insurance policies, including deluxe named perils policies, usually do not cover flood damage. This includes flooding from natural disasters like heavy rain or hurricanes. Separate flood insurance is typically required.
Earthquake and Ground Movement: Damage resulting from earthquakes, sinkholes, or any type of ground movement is commonly excluded. Specialized coverage must be purchased for protection against these events.
Sewer Backup: Damage caused by the backup of sewers or drains is often excluded unless specific sewer backup coverage is added to the policy.
Wear and Tear or Maintenance Issues: Insurance policies generally do not cover damages resulting from neglect or failure to maintain the property, such as mold from water leaks or pest infestations.
Acts of War or Nuclear Hazard: Damages caused by war or nuclear disasters are typically excluded across most insurance policies.
Government Action: Any damage resulting from government actions, including confiscation or demolition of the insured property, is not typically covered.
Intentional Damage: Any damage intentionally caused by the policyholder or other residents is usually excluded from coverage.
It is crucial to thoroughly review your specific “deluxe” named perils policy to understand exactly which risks are covered and which are not. Consider speaking with your insurance provider to explore if additional coverage options are available for the perils not included in your policy.
