All risks (motor insurance)

When a person hears the phrase “all risks,” it is easy to imagine that the insurance will cover absolutely any problem with the car without a single limitation. But in insurance, it works a bit more carefully than that.

Put simply:

• the policy protects not only against one specific situation;
• but against a large list of possible problems at once;
• at the same time, the exact scope of protection is still determined by the contract.

So “all risks” is not a magic formula meaning “we always pay for everything,” but the broadest format of coverage compared with narrower programs.

How it usually works

The logic of this kind of policy is quite practical. Instead of choosing protection only from one threat, the car owner buys a program that covers several major scenarios at once.

Usually, it looks like this:

1. You buy a policy with extended coverage.
2. The contract states the included risks and the exclusions.
3. If an insured event happens, the insurance company checks the circumstances.
4. If the case is covered and does not fall under exclusions, the damage is compensated under the policy terms.

That is why when you see the words “all risks,” it is important to look not only at the attractive name, but also at the real terms inside the contract.

What is usually included in “all risks” coverage

In practice, in motor insurance this approach usually means protection against a wide set of threats. The list may differ from one company to another, but it often includes:

• road accidents;
• theft or hijacking;
• fire;
• explosion;
• natural disasters;
• falling trees, stones, and other objects;
• damage in parking areas;
• unlawful actions of third parties;
• damage to individual parts of the vehicle, if this is stated in the program.

So the purpose of this type of protection is to cover not only a “road” problem, but also other troubles that may happen to the car while it is being used or parked.

Why “all risks” does not mean “absolutely everything”

This is one of the most important points.

Even if a program is called “all risks,” it still has boundaries. In insurance, there are almost always:

• exclusions from coverage;
• limits;
• document requirements;
• claim procedures;
• a possible deductible.

For example, if the owner violated the contract terms, failed to confirm the circumstances of the incident, or the case is directly excluded from coverage, there may be no automatic payment.

In other words, “all risks” means broad coverage, not the absence of rules.

How “all risks” differs from basic protection

The difference is usually in the width of coverage.

• Basic protection usually covers only the main scenarios.
• All risks usually means an extended list of insured events.

For example, one program may include only accidents, theft, and natural events, while another also includes fire, falling objects, actions of third parties, and other situations. That is why two KASKO policies may differ greatly in price, even though both look like “car insurance” from the outside.

Who this option is especially useful for

Most often, an “all risks” policy is attractive to people who do not want to guess what kind of trouble may happen to the car.

It is especially useful if:

• the vehicle is new;
• the car is expensive to repair;
• you drive often in the city;
• the car is parked in a yard, parking area, or places where accidental damage is possible;
• you want to reduce unexpected expenses as much as possible;
• complete protection matters more to you than the cheapest policy price.

Put simply, this format is usually chosen by those who want fewer risks for their wallet and more peace of mind.

Important terms in simple words

Insurance risk — an event against which the protection works.
For example, an accident, fire, theft, or hail.

Exclusion from coverage — a situation in which the policy does not work, even if outwardly the case looks like an insured event.
That is why reading the contract is just as important as reading the product advertisement.

Deductible — the part of the loss that the car owner pays personally.
Because of it, the payment may be lower than the full amount of the loss.

Sum insured — the maximum limit above which the coverage does not apply.
This is the financial ceiling under the contract.

What to check before buying

When choosing such a program, it is important not to focus only on the words “all risks.”

It is better to check right away:

• which exact cases are included in the coverage;
• what is directly excluded;
• whether there is a deductible;
• what limit is set under the policy;
• how an insured event must be reported;
• in what form settlement is made — money, repairs, or another method.

This matters because two companies may use similar names for policies that differ very noticeably in their actual content.

Case example

Let us imagine a situation. Aziz from Tashkent bought a motor insurance policy with broad “all risks” coverage. A few months later, during strong wind, a large branch fell on his car in a parking area. The hood, windshield, and fender were damaged, and the repair cost was estimated at 18 million soums.

What happens next:

• Aziz reports the incident to the insurance company;
• the circumstances and the damage are recorded;
• it is checked whether this case is included in the coverage;
• if the risk is provided for by the policy and there are no grounds for refusal, the damage is compensated under the contract terms.

The conclusion is very clear: the point of “all risks” protection is that the car owner gets not a narrow policy for one scenario, but broader financial protection against different problems that really happen in life.