Insurers will often use the terms "property insurance" and "casualty insurance" when describing a property. Understanding what these terms mean can help you make sure you get insurance in Worcester that meets your needs.
Insurance for Worcester Residents: What's In a Word?
The precise breakdown of property vs. casualty insurance will depend on the subject matter. As a general rule, property covers damage or loss to the insured item, such as if your car is involved in a crash or is stolen, or if your home burns down. Casualty insurance usually covers associated relevant costs. For example, with business insurance, the property element might pay to rebuild an office, while the casualty element might pay for loss of business or finding a temporary location during the rebuilding period.
The issue of liability with property and casualty insurance can be a confusing one. Some definitions have a strict distinction, with property and casualty insurance paying out to cover your costs, and liability insurance paying out to cover someone else's costs for which you've been held responsible. Other definitions have liability as one of the many elements that can be covered by casualty rather than property insurance. Whatever the wording, liability coverage is much more likely to be a legal requirement than property and casualty insurance, so be sure to follow the relevant insurance laws in Worcester, particularly with auto and business cover.
In general, it is straightforward to decide suitable cover limits for property insurance in Worcester and beyond: you need to cover the full cost of replacing or repairing an item or building, possibly with some allowance for depreciation or wear and tear. With casualty insurance, the coverage limits are harder to determine as the potential damage is much more variable. Where appropriate, seek expert independent advice on the realistic damages of the worst case scenario; this lets you obtain adequate coverage while avoiding wasting money on unnecessary coverage.
The Bottom Line for Buying Insurance as a Worcester Resident
Don't get too worked up about the use of "property" or "casualty" in an insurance policy name, and don't make assumptions based on terminology. Always make sure your insurance policy covers the specific risks you want to insure, that the cover limits are adequate, and that there are no unsuitable exclusions.