What is typically covered under property insurance?

Property insurance primarily focuses on the protection of physical assets, which includes buildings, personal property, and any tangible items that can be damaged or destroyed. This type of insurance is designed to cover financial losses due to events such as fire, theft, vandalism, or natural disasters affecting these physical assets. By insuring these items, property insurance provides financial security to policyholders, ensuring they can recover from losses and rebuild or replace their possessions.

While legal defense costs in lawsuits and injuries sustained by renters may be covered under different types of insurance, such as liability insurance or renters insurance, they do not fall under the standard coverage provided by property insurance. Similarly, financial losses from business interruptions are typically addressed by business interruption insurance, which is separate from property insurance. Therefore, coverage of physical assets aligns directly with the fundamental purpose of property insurance, making this the correct answer.