Los Angeles Claims Adjuster Property and Causality Practice Exam

Which type of cause of loss form specifies additional perils, naming them clearly?

1. Open Peril Form

2. Special Cause of Loss Form

3. Basic Cause of Loss Form

4. All Risk Form

The correct answer is: Special Cause of Loss Form

The Special Cause of Loss Form is designed to provide coverage for specific perils that are explicitly named in the policy. This contrasts with the other forms, which operate under different principles. For instance, the Open Peril Form covers all perils except those that are specifically excluded, which means it does not name any particular perils. This can lead to broader coverage but does not specify additional perils. The Basic Cause of Loss Form, on the other hand, covers only a limited number of named perils and does not include the greater specificity of additional named perils as found in the Special Cause of Loss Form. Likewise, the All Risk Form generally encompasses a wide range of risks but does not specifically delineate additional perils, making it less precise regarding the perils covered compared to the Special Cause of Loss Form. Therefore, the focus on naming additional perils clearly makes the Special Cause of Loss Form the correct choice.