Difference in conditions (DIC) insurance provides coverage for perils that may be outside the normal scope of risk for a particular asset. People purchase DIC insurance because insurance companies will often only provide coverage for risks that are relatively common. This can result in some people feeling too exposed to rare or less common risks.
Rather than be exposed to less common risks, insurance policy holders may choose to purchase DIC insurance. Those who live in major cities might, for example, purchase DIC insurance that covers acts of terrorism, while those who have houses in flood zones might purchase it to cover flood damage.
Share this Term
Stay informed with Insuranceopedia!
The world of insurance can be complicated. Subscribe to the Insuranceopedia newsletter and stay in the know! Access expert content, industry term definitions and answers to your questions from knowledgeable insurance insiders. Arm yourself with what you need to know to keep your assets and your family safe.
Latest Articles
