Which types of perils does basic form homeowners insurance cover?

Basic form homeowners insurance provides coverage for specific perils that are explicitly listed in the policy. This is known as a named peril policy, which means that only the risks mentioned in the policy are covered. Commonly covered perils include fire, lightning, windstorm, hail, explosion, and some forms of vandalism and theft.

By focusing on specific perils, homeowners can understand exactly what risks they are protected against and can plan accordingly. The limitation to named perils is a key characteristic of basic form homeowners insurance, distinguishing it from broader coverage forms that may encompass a wider range of risks unless specifically excluded. Understanding this aspect is crucial for policyholders as it influences both their risk management strategies and the selection of additional coverage options if they desire protection against perils not included in the basic policy.