So, whats the key differences between an Industrial Special Risks ISR policy a Defined Perils policy and an All Risks policy?
Well in simplistic terms an Industrial Special Risks ISR policy will respond to any physical loss or damage to property; including an interruption to a business from causes other than those causes specifically excluded under the policy. Whereas; a Defined Perils policy only covers the specific perils defined in the policy such as for instance; fire, storm, tempest, burglary etc’. Simply put, if the loss isn’t the result of a defined peril you probably won’t be covered. Some of these products are called ‘all risks’ policies due to their broader coverage however, that description is inaccurate because such policies still contain defined perils and exclusions which limit the cover. Interestingly, all these policies contain exclusions to the cover, many of them very similar however, in practical terms it is far more desirable to insure a commercial property for the wider cover available under an ISR policy than under a policy limited to a set of defined perils. But, a lot depends on the ty
