How does "property insurance" differ from "casualty insurance"?

Property insurance and casualty insurance serve distinct purposes within the realm of risk management and protection. Property insurance specifically addresses the coverage of physical assets against risks such as theft, fire, or damage. It protects tangible property like buildings, personal possessions, and equipment.

In contrast, casualty insurance focuses on liability coverage, which means it provides protection against legal obligations resulting from bodily injury or property damage to others. This type of insurance is important for individuals or businesses that want protection from claims or lawsuits arising from accidents or injuries that they may cause.

The accurate differentiation lies in the coverage aspects: property insurance is concerned with safeguarding the insured's own physical assets, while casualty insurance primarily relates to protecting against claims of harm or damage that affect third parties. Thus, the selected answer accurately captures this crucial distinction between the two types of insurance.