DP-1 basic coverage includes which type of perils?

• A. Named perils
• B. Open perils
• C. Earthquake only
• D. All risks except flood

Answer: (A)

DP-1 is written on a named-perils basis, so the policy only covers losses from hazards that are explicitly listed in the contract. The basic form names specific events such as fire or lightning, windstorm or hail, explosion, smoke, aircraft or vehicles, riot or civil commotion, vandalism, theft, and volcanic eruption. Because coverage is limited to those named perils, it does not automatically cover risks not listed, and earthquakes are typically excluded unless an endorsement is added. Open or all-risks coverage, which would protect against losses from nearly any peril unless specifically excluded, comes with broader forms like DP-2 or DP-3, not DP-1.