What type of coverage might involve insuring multiple risks under one policy?

Blanket coverage is designed to insure multiple risks, properties, or locations under a single policy. This type of coverage provides flexibility and can often be more cost-effective than purchasing separate policies for each individual risk. For example, a business with several locations or various types of inventory can use blanket coverage to protect all these assets under one policy limit, rather than having to account for each one separately.

This approach is beneficial because it simplifies management of the insurance policy and can streamline the claims process. Additionally, as the total value of the covered property can fluctuate, blanket coverage allows for coverage limits to adjust based on the total risk exposure.

In contrast, comprehensive coverage typically refers to broad protection against a wide range of risks, but it does not specifically imply the bundling of multiple different risks under one policy. Specific coverage provides protection for clearly defined risks or properties, often necessitating separate policies for different assets. Excess coverage refers to additional coverage that kicks in after the limits of a primary policy have been exhausted, and does not involve bundling several risks into one policy.