In insurance terminology, what is meant by "perils"?

In insurance terminology, "perils" refers to the specific causes of loss or damage that can result in a claim being filed under an insurance policy. For instance, in a homeowners insurance context, common perils may include fire, theft, vandalism, and natural disasters like floods or earthquakes. Understanding perils is crucial for policyholders, as policies often specify which perils are covered and which are excluded. By clearly identifying these causes of loss, insurers can determine whether a claim meets the conditions set forth in the policy. This distinction helps both insurers and insured parties manage risks effectively and understand the extent of coverage provided.