When the insurance companies are advertising their insurance policies, such as insurance for theft, fire, water damage, riots, lock out or other risks, on the face of, it may seem as if the policy will securely cover everything imaginable under that heading.

The reality may be quite different. It is very important to read the actual text in the insurance policy and any attachments, which we sometimes commonly call as fine print. Legally speaking the insurance would cover what it says in the text that it covers. So for instance if water damage covers only the damage that occurs because of rain, it would not cover a damage due to a pipe burst. The insurance policies generally go into even more detail when describing the covered events. For example if it is a theft risk policy, it might state in detail how the insurance would cover if the theft occurs in a certain way or if the break in happens in a specific way. This would mean that we cannot assume that everything is covered under the specific risk heading. 

It should always be remembered that when the insured or the customer claims compensation from the insurance company and the insurance company rejects it, the burden of proving that the specific risk has taken place is on the insured, which is the customer. This would actually show how important it is to read the fine print in insurance policies.