"We are having a hard time understanding what the HO 17 32 - Unit Owners Coverage A Special Coverage does. Can you help?"   

The quick answer to this question is that it converts building loss claims under an HO-6 policy from "named peril" to "all risk." There are other similar examples too: the HO 17 31 converts contents losses under the HO-6 to "all risk;" using the HO-5 instead of the HO-3 converts contents losses to "all risk;" in the commercial property program the "Causes of Loss–Special Form" converts losses to "all risk" when compared to the Causes of Loss Broad Form.

A basic principle of insurance is that "all risk" coverage provides better protection to the insured than does "named peril" coverage. This holds true for both homeowners policies as well as commercial property policies. If a client were to ask for specific examples of claims covered under the "all risk" form that would not be covered under the typical "named peril" form would you have a list handy to show them?

Well, just in case you ever wanted such a list, merely print this out and you'll have one handy. While some of the examples pertain exclusively to homeowners policies, many apply to both homeowners policies and commercial property policies. 

(Note: The term "all risk" is used in this article since many insurance professionals understand the "lingo" of the industry. The use of the term "all risk" with a client should be avoided since it may be misinterpreted to mean there are no exclusions and everything is covered. The "politically correct" language would be better be put, "open perils, subject to policy exclusions." Also remember to read the policy in question since each coverage form is unique. There is no representation here that every policy available to policyholders will cover every claim described below.)  

  • Rain enters an open window causing damage to carpet and furniture.
  • Windstorm damage to watercraft not inside fully enclosed building.
  • Mysterious disappearance of personal property.
  • Theft of personal property in a portion of the residence rented to others.
  • Theft of watercraft away from premises.
  • Bear at campground walks off with camera.
  • Theft of trailers away from premises.
  • Damage to interior of a building by a falling object with no exterior damage.
  • Damage to a falling object itself, such as a chandelier.
  • Seepage of water around windows causing damage to furniture and/or carpet.
  • Waterbed bursts.
  • Aquarium breaks, water floods room.
  • Lawn sprinkler damage through open window.
  • Power surge to tubes, transistors, and electronic components.
  • Theft of personal property at secondary residence while the insured is not living there.
  • Theft of college student's property when student has not been present in the past 45 days.
  • Scorching.
  • Weight of objects.
  • Weight of people or animals.
  • Foreign objects dropped into and damaging plumbing systems.
  • Non-malicious acts of children.
  • Spillage, such as spilling tomato sauce on white carpet.
  • Nail polish on couch and chair.
  • Skunk discharges inside building.
  • Stray cow enters house, chews up carpet and couch.
  • Dropping items, such as personal computer.
  • Shotgun discharges causing damages to building and contents.
  • Damage from fighting.
  • Luggage lost by airlines.
  • Property sent through mail never arrives.
  • Personal property dropped overboard from boat.
  • Jewelry—stone disappears from setting.
  • Death in house, significant damage from blood.

Make sure to contact your local Armstrong Insurance Agent to obtain a quote on auto, home or commercial insurance policies anywhere in Florida.