What is Property and Casualty insurance?
Homeowner’s insurance, renter’s insurance, car insurance — all terms you heard, and you know of and are types of insurance. But do you know the difference between them? Are you familiar with the term Property and Casualty insurance?
In this blog we will dive into the meaning of property and casualty, how it relates to the various kinds of insurance and how to manage all kinds of insurance policies with Compliance Management Software.
What is Property and Casualty insurance?
Property and Casualty insurance is a sort of umbrella coverage to protect you from certain risks. Furthermore, Property insurance covers things you own —your car, your home or the belongings you place in it.
Casualty insurance, on the other hand, offers coverage to help protect you if you’re held responsible for an incident that causes injury to another person or damage to their belongings. When they are joined, property and casualty insurance make up the foundation of most insurance policies you have.
For example, if a guest suffers an injury in your home, property and casualty can cover their medical bills and loss of income. Negligence would come into play if, for instance, you have put off repairing broken stairs in your home and your guest is injured on these stairs as a result. Property and casualty insurance may also help cover legal fees in the event you are sued by that individual. However, property and casualty insurance can also cover losses relating to your home and belongings in the event of an accident.
How Property and Casualty Works
Property and Casualty insurance, although it may sound confusing, they come with your car and home insurance. To make it easier to understand:
Home Insurance
- Property: Covers your home (physical building) and the belongings you have in it from all losses such as fire, theft, etc.
- Casualty: Offers coverage if you’re held responsible for someone injuring themselves on your property, or if you were to cause any damage to someone else’s property.
Condo Insurance
- Property: Covers your unit (not including common areas in the building) from structural damage and any damage/loss to your belongings in it.
- Casualty: Offers coverage if you’re held responsible for someone injuring themselves in your unit.
Tenant Insurance
- Property: Covers your personal belongings from losses outlined in your policy such as theft or fire.
- Casualty: Offers coverage if someone injures themselves in your rental unit or if you cause damage to someone else’s property.
- Rental property insurance
- Property: Covers damages/loss to the rental property and can include coverage for damage/loss to the property owner’s belongings that remain on site.
- Casualty: Offers coverage if you’re held responsible for property damage or injuries to a third party resulting from your ownership of the rental space.
Car Insurance
- Property: Covers damage to your car if you’re in an accident and protects your car from damages/loss caused by other factors like fire, vandalism, etc.
- Casualty: Offers coverage if you get into an accident and cause injuries to someone else or damage to their car.
Recreational Vehicle Insurance
- Property: Covers damage to your recreational vehicle if you’re in an accident and protects it from damage/loss due to risks such as fire, theft, etc.
- Casualty: Offers coverage in case you get into an accident and cause injury to a third party or damage to their property.
Keep in mind that everyone’s insurance policies differ and depending on the location, coverage requirements and minimums will vary.
How SmartCompliance Helps Property and Casualty
Moreover, for specific details it is important to check your insurance policy to see what you’re covered for and any exclusions that may apply, what enhancements you’ve added to your standard policy, and up to what dollar limits you’re covered to.
SmartCompliance helps you manage your insurance policies and compliance. SmartCompliance has a very accessible dashboard for insurance and brokers therefore easy communications and comprehensive reports. This makes handling compliance much faster and more efficient.
To see SmartCompliance for yourself, schedule a demo with our team.
