What Is a Peril?

by COUNTRY Financial

In home insurance, a peril is an event that damages your home—extreme weather, fires, vandalism and more. All home insurance policies cover various types of perils, so you’ll be protected from the cost of repairing the damage they cause.

This article will explore types of perils in insurance and discuss covered perils, perils that aren’t covered and more.

What is a covered peril?

A covered peril is a specific event, damage, or risks that are spelled out and included in your home insurance coverage. 

Check your home insurance policy for a list of covered perils.  Some typical covered perils include damage caused by: 

• Fire and smoke
• Lightning strikes
• Wind, hail and other extreme weather
• Ice, snow and sleet
• Explosions
• Vehicles hitting your home (including, believe it or not, aircraft)
• Power surges
• Vandalism
• Falling objects, like trees
• Water leaks from burst pipes, water heaters, etc.

Not everything is a covered peril. Damages that are caused by a lack of proper maintenance and general wear and tear are not covered. We'll get into non-covered perils later in this article.

Named perils, hazards and more

A named peril is peril that’s listed in your home insurance policy and is covered by your insurance. All the perils we listed in the section above are named perils. If you file a home insurance claim with your insurer, it must be for a named peril; otherwise, it won’t be covered. (We’ll discuss perils that aren’t typically covered in the section below.)

Another aspect of peril insurance, commonly confused with a peril itself, is called an insurance hazard. A hazard is an action, condition or circumstance that increases the chance of a peril (and loss) occurring.

For example: Say you have an old, decaying tree in your front yard, leaning dangerously close to your home. One gust of wind or an unfortunate lightning strike could send it diving into your living room, causing extensive damage. The old tree itself is the hazard; the tree falling on your home is the peril.

What perils are not covered?

While the list of covered perils is extensive (and surprising in some ways), there are several types of perils in insurance that aren’t covered in a standard policy. 

These include damage cause by:

• Floods
• Earthquakes
• Pests and infestations
• Normal wear and tear, aging and lack of maintenance
• Mold (typically not covered, but it is covered in a few states)
• Power failures

It’s important to note that if you live an area prone to floods or earthquakes, separate coverage can be purchased for these two perils.

How do perils work with your home insurance policy?

If a covered peril damages your home, the first thing to do is contact your insurer. They’ll send out an insurance adjuster who’ll assess the damage and confirm that the peril is covered.

Your insurance company will then prepare an estimate based on the cost to repair or replace the property, and may then send a check for an amount (minus your deductible) according to the terms and provisions of your policy.   

The amount of coverage will depend on your policy, but with the appropriate coverage you can prepare to be in the best position to be saved from footing the entire bill yourself.

Final thoughts

If you’re curious about your home’s coverage, always consult your home insurance policy. Perils are listed out in detail.

If you're concerned about perils that aren't listed in your policy, talk to your agent today—they can help you feel comfortable in selecting the amount of coverage you need and answer your questions.

Updated 2-4-25