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Simple English definitions for legal terms
broad-form policy
Read a random definition: face-amount certificate company
A quick definition of broad-form policy:
A broad-form policy is a type of insurance contract that offers broad protection with few limitations. It covers a variety of risks, such as damages from fire, windstorm, explosion, riot, aircraft, vehicles, theft, or vandalism. It offers greater coverage than a basic-form policy, but less than an open-perils policy. Insurance policies are documents that detail the terms of the contract between the insurer and the insured.A more thorough explanation:
A broad-form policy is a type of insurance policy that offers broad protection with few limitations. It provides greater coverage than a basic-form policy but less than an open-perils policy.
For example, a broad-form policy may cover damages from fire, windstorm, explosion, riot, aircraft, vehicles, theft, or vandalism. However, it may not cover other types of losses, such as floods or earthquakes.
Overall, a broad-form policy is a good option for those who want more coverage than a basic policy but don't need the comprehensive coverage of an open-perils policy.