What does the term "open-peril form" in DP-3 (Special) signify?

The term "open-peril form" in a DP-3 (Special) policy signifies that the policy provides coverage for all perils unless they are specifically excluded. This means that the insured is protected against a wide range of potential risks, offering more comprehensive coverage than a named-peril form, which lists only the perils that are covered.

In practical terms, if a loss occurs, the burden is on the insurer to prove that the specific peril causing the damage is excluded from coverage. This provides homeowners or property owners with greater peace of mind, as they have a broader safety net against unexpected events. It’s essential for policyholders to understand which perils might be excluded, as that knowledge helps manage their expectations and financial planning in case of a loss.