What is National All Risk and DIC Underwriting?
National All Risk and Difference in Conditions (DIC) underwriting refers to a specialized insurance approach that combines broad property coverage with protection against unique or excluded risks. An "All Risk" policy generally covers physical loss or damage to insured property unless specifically excluded. DIC insurance, on the other hand, is designed to fill in gaps left by standard property policies, often covering perils like earthquakes, floods, or political risks that are commonly excluded.
Who Needs It
This type of coverage is typically used by large businesses, commercial property owners, real estate developers, and multinational corporations. Anyone with high-value assets or operations in multiple regions—especially areas prone to natural disasters or geopolitical instability—can benefit from National All Risk and DIC underwriting. It is especially useful for companies with complex or non-standard exposures that require tailored protection beyond standard forms.
What It Typically Covers
Coverage will vary by provider, but a National All Risk and DIC policy may include:
- Property damage from covered perils not listed as exclusions
- Earthquakes, floods, and other natural disasters
- Man-made risks such as riots or terrorism (if not excluded)
- Business interruption caused by covered events
- Transit and transportation risks
Common Exclusions and Limitations
Even with broad coverage, there are usually exclusions. Common limitations may include:
- Wear and tear or gradual deterioration
- Acts of war or nuclear hazards
- Mechanical or equipment failure (unless specified)
- Governmental action or seizure
- Losses that fall under other more specific policies
Policyholders should review all exclusions carefully and consult a licensed agent to understand what’s covered.
Factors That Influence Cost
The cost of coverage depends on several variables, such as:
- Type and value of insured property
- Location and associated risk exposures (e.g., flood zones, seismic zones)
- Business operations and industry type
- Loss history and claims record
- Selected coverage limits and deductibles
Insurers may also consider underwriting details like construction type, risk mitigation measures, and occupancy.
Proof of Insurance & Compliance
Proof of National All Risk and DIC insurance may be required for financing, leasing, or regulatory compliance. Requirements can vary by state, industry, or contract. Businesses should maintain current documentation and ensure that coverage aligns with any legal or contractual obligations.
How to Get a Quote
To explore your options and get a custom quote for National All Risk and DIC coverage, visit our online quote page.
Frequently Asked Questions
What is the difference between All Risk and DIC insurance?
All Risk covers most physical losses unless excluded, while DIC fills in gaps left by standard policies, covering specific risks like earthquakes or floods.
Can DIC insurance be purchased on its own?
DIC policies are usually written in conjunction with standard property insurance to supplement and extend coverage, not as a standalone policy.
Is flood damage covered under All Risk insurance?
Floods are typically excluded from standard All Risk policies, but may be added through a DIC policy.
What types of businesses benefit most from DIC coverage?
Large commercial property owners, real estate developers, and international companies often benefit from DIC coverage due to their complex risk exposures.
How do I know if I need DIC underwriting?
If your business faces risks not covered by standard policies—like earthquakes or political unrest—you may need DIC underwriting to fill those gaps.
Still have questions? Talk to a local insurance expert.