What type of coverage does TDP 2 primarily offer?

TDP 2 primarily offers named perils and replacement cost coverage. This means that the policy covers specific risks or 'perils' that are explicitly listed in the policy document, such as fire, theft, or vandalism. Additionally, replacement cost coverage indicates that when a covered loss occurs, the policyholder will be reimbursed for the cost of replacing the damaged or lost item with a new one of similar kind and quality, without deducting for depreciation.

This type of coverage provides more comprehensive protection compared to just actual cash value, which accounts for depreciation. It also stands out from options that suggest only actual cash value or exclusive coverage types, which would limit the scope of protection offered to different types of risk or loss valuation methods. The integration of named perils with replacement cost creates a more robust insurance solution, catering to the needs of policyholders looking for reliable coverage against specific risks while ensuring they can replace their belongings without facing significant financial loss from depreciation.