Which dwelling policy offers coverage for all risks of physical loss, except those that are specifically excluded?

The correct choice indicates the specific type of dwelling policy known as the TDP-3 or the DP-3 policy. This policy is designed to provide coverage for all risks of physical loss or damage to the dwelling and its contents, with the exception of those losses that are explicitly excluded in the policy. This principle is often referred to as "open perils" coverage, meaning that unless a peril is mentioned in the exclusions, it is covered.

The TDP-3 or DP-3 policy typically includes broader coverage compared to other forms of dwelling policies, such as the TDP-1 or TDP-2. These other policies usually provide "named perils" coverage, where only specifically listed risks are covered. This means that if a risk is not named, it would not be covered under those policies.

Understanding the types of policy coverages is crucial for adjusters as it helps them assess claims accurately and explain coverage details to policyholders. This knowledge helps to ensure that both claimants and adjusters have clear expectations regarding what is protected under the policy.