Which of the following causes of loss is covered under a commercial property basic form?

The cause of loss covered under a commercial property basic form includes volcanic eruption. This type of coverage typically protects against a variety of perils, and volcanic eruptions are recognized as a significant catastrophic event that can result in damage to property. The coverage for volcanic eruptions is included because the potential for widespread damage and the financial implications of such an event are considerable.

In contrast, nuclear hazards, dry rot, and earth movement are not covered by the commercial property basic form. Nuclear hazards are typically excluded due to the unpredictable nature and extensive liability that could arise. Dry rot, while it may cause property damage, is often related to maintenance issues and is considered a result of neglect rather than a direct loss event. Earth movement, which includes earthquakes and landslides, is also generally excluded from basic property coverage due to the highly variable nature of such events and the potential for extensive damage they can cause.

Understanding these nuances is essential for interpreting policy exclusions and determining the types of risks that a commercial property owner may need additional insurance to cover.