Policy Terms
Peril
Definition
A specific event or cause of loss that may trigger an insurance claim. Common perils include fire, theft, windstorm, hail, vandalism, and lightning. Policies may be 'named peril' (covering only listed perils) or 'open peril' (covering all perils except those specifically excluded).
In Zach’s Words
“A peril is just insurance-speak for 'the bad thing that happened.' Fire is a peril. Theft is a peril. Windstorm, hail, vandalism — all perils. The key question is whether your policy covers that specific peril. Named peril policies only cover what's listed. Open peril policies cover everything EXCEPT what's excluded.”
— Zach Nadler, CIO