cRYPTO Glossary

All risks coverage is a type of insurance policy that provides broad protection by automatically covering any risk not specifically excluded in the contract.

Explanation:

• Comprehensive Protection: All risks coverage is designed to protect against a wide range of perils unless they are explicitly listed as exclusions in the insurance policy.
• Automatic Inclusion: Unlike named perils policies that only cover risks explicitly listed, all risks coverage assumes coverage for all risks by default unless specifically excluded.
• Flexibility: This type of coverage is often used in property insurance, where it protects against damage or loss caused by unforeseen events such as fire, theft, vandalism, and natural disasters.
• Exclusions: While all risks coverage is comprehensive, there are typically specific exclusions such as war, nuclear hazards, intentional acts, and wear and tear.

Key Points for Beginners:

• Broad Coverage: All risks coverage provides extensive protection compared to named perils policies, which specify the exact risks covered.
• Policy Details: It's important to review the policy carefully to understand what risks are covered and any exclusions that may apply.
• Insurance Applications: Commonly used in property and business insurance, all risks coverage offers flexibility and peace of mind by covering a wide range of potential losses.