Comprehensive Insurance is perhaps surprisingly not cover for absolutely everything, which is why the term all risks is used a lot less than it used to be. Comprehensive cover as a term has been used for a long time in the UK where approximately seventy five per cent of insurance is Comprehensive.
In Car Insurance there are usually a range of cover options, Comprehensive being the most expensive and covering the most risks. Comprehensive is usually the only cover which pays out in the event of a policyholder damaging their own vehicle. If you are looking to insure a car this is the most important distinction.
Not all Comprehensive policies are the same, Many will have extras which are not covered by cheaper policies or ones insuring for third party risks only. This may include things such as cover for personal effects left in a vehicle, audio equipment, a hire car to replace the one damaged, cover against one’s own injuries, cover for damage to glass only (often known as Windscreen cover) and even cover against being involved in things like carjacking or road rage incidents. Some policies even include additional benefits such as Breakdown cover which is in effect a separate policy altogether, but included in the price. Many polices offer uninsured loss protection but this is unlikely to be worth paying any extra for as many agents offer the same services for free if you are involved in a non fault incident.
Although cover is thought to be against anything there are a number of exceptions, always look at the small print but the following are common. Firstly anything that can be classed as an act of God, such as damage caused by severe weather or natural disasters is often excluded. Damage or loss caused by terrorism, riots, civil disturbances and wars or actions by foreign nations is also often not covered. Most insurance including comprehensive will not cover you for any illegal activity such as racing on the highway and may be deemed void if you are not fit to drive or the vehicle is either not maintained to a safe standard or modified in a dangerous way.
There are many other exceptions, again which vary from policy to policy. Some do not cover damage caused off the road, such as in a supermarket car park. Others exempt occurrences such as damage caused by radioactive fall-out or acid rain.
In Summary, comprehensive cover is the only level which insures your property against your own actions, but be aware that this does not cover every possible eventuality. Make sure you check the policy details and know exactly what you are buying. Insurance companies will do everything they possibly can to avoid paying out on a claim so don’t give them the chance.