Common use of All Risk Clause in Contracts

All Risk. The insurance covers damage to or loss of property caused by a sudden and unforeseen external event. Suddenness means that the event causing the damage occurred relatively quickly. Consequently, damage caused by wear and tear and consumption is not covered. Unforeseen means that the event occurred unexpectedly and could not normally be foreseen and therefore the damage could have been prevented. The insurance covers damage caused by the tenant, his/her family members or his/her guests during the stay.