All-Risks Insurance Policies versus Named Risks Policies - Fitts Law Firm

Bryant Fitts, a Houston insurance attorney at the Fitts Law Firm, explains the benefit of an All-Risks property insurance policy as opposed to a Named Risk property insurance policy, and what to do if you All-Risks insurance claim has been denied.

Bryant Fitts
Fitts Law Firm, PLLC
4801 Richmond Avenue
Houston, TX 77027
713-871-1670
(800) 99 FITTS
https://fittslawfirm.com/practice-are...

My name's Bryant Fitts and I’m an insurance lawyer located in Houston, Texas. We help policyholders across the nation get paid the most money possible under their insurance policies when they have covered claims. Today, I'm here to talk to you about an All-Risks policy versus a Named Perils policy.

When you're purchasing an insurance policy, always ask your agent if you are getting an All-Risks policy. A lot of times, you'll call your agent and tell them you're price-sensitive and they will give you what's called a Named Perils policy. I'm here to explain the difference of these two policies so you can understand why you want an All-Risks policy.

Most All-Risks policies cover any accidental damage during the policy period unless it's excluded. So what you're looking at is you've got a policy that's going to pay you for anything that happens on your property unless they specifically exclude it. So the typical exclusions on All-Risks policies are as follows:

 Rodent or Pest Damage
 Some Water Backups
 Earth Movement
 Flood
 Terroristic Events
 A Nuclear Meltdown
 A Mechanical Breakdown
 Pollution
 Wear And Tear to Your Property
 Hidden Defects
 and Gradual Damage

So, if you look at the trend there, they're trying to exclude things that are totally beyond their control; terroristic, nuclear events, and things that are happening slowly and steadily over time. But they will cover sudden and accidental damage to your property. So that's why you want an All-Risks policy.

Now, if you compare that with a Named Perils policy, a Named Perils policy is only going to cover what it says it covers in the policy. So, it can be a lot more exclusive, because if they don't say it in the policy that it's covered, then it's not covered, whereas in the All-Risks they have to exclude it for it to be covered.

So, whenever you're purchasing insurance, always try to get an All-Risks policy. The reason why this is important is we often see people who have All-Risks policies that have had their claim denied. And typically, what we tell policyholders when they've had a denied claim from an All-Risks policy is to reach out to their agent and ask their agent or their adjuster to explain exactly why it's excluded under the policy because it's got to say that it's excluded. They can't just come back to you and say that's not covered. Unfortunately, insurance companies do this all too often, so if you're in a situation where you have an All-Risks policy and they've denied your claim and you believe it should be covered, you need to contact an insurance lawyer today to have them review your policy to see if you have a covered claim.

If you have any questions, you can post them in the comments section below or you can call us at 1-800-99-FITTS. 1-800-99-FITTS.

Thank you.