In dwelling policies, how is volcanic activity treated regarding occurrences?

In dwelling policies, volcanic activity is treated as part of one occurrence if it all happens within a specified time frame, which is typically 72 hours. This means that if multiple events such as eruptions, ash falls, or lava flows occur as a result of the same volcanic activity within this period, they are treated collectively as a single event for the purpose of coverage and claims. This is important because it allows policyholders to file one claim rather than multiple claims for each individual event resulting from the same volcanic activity.

In terms of claims and coverage limits, treating these events as a single occurrence simplifies the process for both the insurance company and the policyholder. It also ensures that limits applicable to coverage are not exhausted by a series of related events. Understanding this principle can be crucial for policyholders when considering the implications of volcanic activity on their dwelling insurance.