In the DP-3 Special Form, what type of coverage is provided?

In the DP-3 Special Form, the coverage provided is known as open peril coverage. This type of coverage is comprehensive and protects against all risks or perils unless they are specifically excluded in the policy. This means that the insured property is covered for any damage that occurs due to unforeseen events, highlighting the strength of the DP-3 form in providing extensive protection for homeowners.

The open peril nature allows policyholders to feel more secure since they do not need to worry about specific risks that are covered. In contrast, the standard or basic forms typically cover only specific named perils, which would require homeowners to be aware of and manage those exclusions actively. Broad named perils or limited liability coverage would not provide the same level of comprehensive protection as the DP-3’s open peril coverage, making it a robust choice for many homeowners seeking to protect their property.