Does your policy list what it covers, or what it excludes?
Published May 30, 2026
One of the most important distinctions in a property policy is whether it is written on a named-perils or open-perils basis. This single difference decides where the burden of proof falls when you file a claim.
Named perils
A named-perils policy covers only the specific causes of loss it lists, such as fire, theft, or hail. If a cause is not on the list, it is not covered, and the burden is on you to show the loss came from a listed peril.
Open perils
An open-perils policy, sometimes called all-risk, covers all causes of loss except those it specifically excludes. This is broader coverage, and the burden shifts to the insurer to show an exclusion applies.
Why it matters
Many homeowners policies cover the structure on an open-perils basis but personal property on a named-perils basis, so the same policy can treat your house and your belongings differently. Checking which basis applies to each part of your policy helps you understand your real protection.
Frequently asked questions
＋ What is the difference between named perils and open perils?
A named-perils policy covers only the causes of loss it lists. An open-perils policy covers all causes except those it excludes, making it broader coverage.
＋ Which is better, named or open perils?
Open perils generally offers broader protection because it covers everything not excluded. Named perils can cost less but leaves more uncovered, so the right choice depends on your needs and budget.
＋ Can one policy use both?
Yes. Many homeowners policies cover the home structure on an open-perils basis and personal property on a named-perils basis, so check which applies to each part.
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