What is the coverage type specifically regarding personal property in the DP-2 Broad Form?

The DP-2 Broad Form, also known as the “Broad Form” policy, provides coverage specifically for personal property on a "named perils" basis. This means that only the perils explicitly named in the policy are covered. Examples of named perils typically include fire, lightning, explosion, windstorm, hail, smoke, vandalism, and others as specified in the policy.

This distinction is important because it sets the DP-2 apart from the DP-3 policy, which offers "open perils" coverage for personal property, covering all risks except those specifically excluded. The named perils approach allows for a more specific control over risks that the insurer is willing to cover, making this policy suitable for those who want tailored protection against particular risks that might affect their personal property.

The other options relate to coverage types that do not accurately reflect the nature of the DP-2's personal property coverage. "All perils" would imply coverage for every possible risk, which is not the case with the DP-2. "Open perils" suggests broad coverage not restricted to specific risks, while "undefined risks" implies a lack of defined coverage, neither of which aligns with the named perils structure of the DP-2. Therefore,