The Difference Between Named Perils and All-Risks Property Insurance in the Dominican Republic

Introduction

Buying a home or villa in the Dominican Republic is a major investment, especially for expatriates and international buyers in Punta Cana, Bávaro, or Santo Domingo. Protecting that investment with the right insurance is essential. But when shopping for property insurance, you will often encounter two common policy types: Named Perils and All-Risks.

Although both offer financial protection, they differ significantly in scope and cost. Understanding the difference helps you choose the best coverage for your needs.

What Is Named Perils Insurance?

Named Perils (Fire & Allied Lines) insurance only covers risks specifically listed in the policy. If a peril is not named, it is not covered.

Common Perils Covered:

• Fire and lightning

• Hurricanes, cyclones, and windstorms

• Earthquakes and tremors

• Floods and sea surge

• Explosion

• Riot, strike, and malicious damage

Pros:

• Lower premium cost

• Clear and specific coverage

Cons:

• Limited protection—anything not listed is excluded

• May leave gaps (e.g., accidental water damage or glass breakage not included)

What Is All-Risks Insurance?

All-Risks (Multiriesgo Hogar) insurance provides broader protection. It covers all causes of physical loss or damage unless specifically excluded.

Typical Inclusions:

• Everything from Named Perils

• Accidental water damage (pipe bursts, leaks)

• Burglary and theft with forcible entry

• Accidental glass breakage

• Machinery or electronic equipment breakdown

• Personal liability for accidents on the property

Pros:

• Comprehensive protection

• Fewer coverage gaps

• Ideal for high-value villas or luxury condos

Cons:

• Higher premium cost

• Deductibles may still apply for catastrophic risks (e.g., 2% for hurricane/earthquake)

Side-by-Side Comparison

When comparing Named Perils and All-Risks property insurance in the Dominican Republic, the biggest difference is in the scope of coverage. Named Perils policies only protect against risks specifically listed in the contract—such as fire, hurricanes, earthquakes, or floods—making them more affordable but also more limited. Anything not named is excluded, which can leave gaps in protection. By contrast, All-Risks property insurance covers all causes of loss or damage unless explicitly excluded, offering broader protection that usually includes accidental water damage, burglary, and even electronic or machinery breakdown. While All-Risks comes with higher premiums, it reduces uncertainty and is especially recommended for expats, luxury villas in Punta Cana, rental properties in Bávaro, and high-value condos across the Dominican Republic. Meanwhile, Named Perils can be a smart choice for budget-conscious owners who mainly want protection against catastrophic events.

Example: Punta Cana Condo vs. Villa

• Condo in Bávaro: A Named Perils policy may be sufficient if the building already carries a master policy for hurricanes and earthquakes, leaving you to insure just your unit’s contents.

• Luxury Villa in Cocotal Golf & Country Club: An All-Risks policy is highly recommended, as it covers valuable furniture, electronics, and liability against tenants or Airbnb guests.

Which Option Should You Choose?

• Named Perils: Best for cost-conscious owners who want protection against major catastrophic events.

• All-Risks: Best for expats, luxury property owners, or landlords who rent out their homes and want peace of mind against unexpected damages and liability.

Why Choose Hernández Peguero?

At Hernández Peguero Insurance Brokers, we work with the top insurers in the Dominican Republic, including Seguros Reservas, MAPFRE, Universal, SURA, La Colonial, and La General. Our goal is to simplify the process for you, compare options across insurers, and ensure your property is protected with the right policy at the right price.

Ready to Get the Right Coverage?

Choosing between Named Perils and All-Risks doesn’t have to be complicated. With expert advice, you can protect your property with confidence and clarity.

👉 Contact us today for a personalized quote:

• 📞 Phone/WhatsApp: +1 (849) 514-9838

• 📧 Email: info@hernandezpeguero.com

• 🌐 Website: www.hernandezpeguero.com