Property · Insurance Term
Causes of Loss – Special Form (Open Perils)
Definition
The Causes of Loss – Special Form (CP 10 30) is the broadest standard commercial property causes of loss form. It covers direct physical loss from any cause unless the form specifically excludes or limits it. It is often called open perils or, informally, all risk.
In Plain English
Instead of listing what is covered, the special form covers everything not excluded. That shifts the burden: if damage occurs, it is generally covered unless the insurer can point to an exclusion or limitation. That is broader than the named perils approach of the Causes of Loss – Basic Form.
It still has important exclusions. Common ones include flood, earth movement, government action, wear and tear, deterioration and many maintenance-related losses (see wear and tear exclusion), plus limits on mold, theft of certain property and water damage from continuous leaks.
Open perils does not mean full coverage, which does not exist. Read the exclusions, limitations and endorsements, because they decide what is actually covered.
Not sure how your policy handles this? Have us review it, or get a quote.
Example
Hypothetical: a forklift strikes a sprinkler pipe in a warehouse, flooding part of the floor. The special form would typically cover the water damage, because accidental damage is not excluded. A slow leak that went on for months may be treated differently.
Why It Matters for Texas Property Owners
Texas policies on the special form often add endorsements that change storm coverage, such as cosmetic hail damage exclusions, roof valuation schedules, or windstorm exclusions on the coast. Check these endorsements as closely as the form itself.
What to Watch For
- Read the exclusions section and every endorsement that changes it.
- Ask whether flood, earthquake, wind or hail are excluded, sublimited or deductible-specific.
- Check limits on theft, mold and water damage.
- Maintain the property; many excluded losses involve wear or neglect.
Common Questions
Does special form mean I'm covered for everything?
No. It covers losses not excluded, and the exclusions are significant. Flood, for example, is excluded on standard forms.
Is special form standard for commercial buildings?
It is common for occupied buildings in reasonable condition, but insurers may offer only basic or broad form for vacant or higher-risk properties.
Last updated October 14, 2026 · Primesure editorial team · How We Write