What Even Is P&C Insurance?
Understanding Property & Casualty Coverage
Property and casualty (P&C) insurance might not sound exciting, but it’s one of the most important types of coverage you can have—both as an individual and as a business. It protects the things you own and shields you from financial loss if something unexpected happens.
So, what even is P&C insurance, and why should you care? Let’s break it down.
What Is Property & Casualty Insurance?
Property insurance covers the stuff you own—your house, car, office building, equipment, or inventory.
Casualty insurance covers your liability—if someone sues you for an accident or injury, this is the coverage that helps pay legal costs or settlements.
Most P&C insurance policies combine both types of coverage into one policy, which is why they’re often grouped together.
Common Types of P&C Insurance
Here are some of the most common P&C coverages:
Homeowners Insurance – Covers your house and belongings from things like fire, theft, or weather damage.
Auto Insurance – Covers damage to your car and liability if you’re at fault in an accident.
Renters Insurance – Protects your personal belongings inside a rental property.
Commercial Property Insurance – Covers buildings, inventory, and equipment owned by a business.
General Liability Insurance – Helps protect your business from lawsuits due to injuries or property damage.
Workers’ Compensation – Covers employee injuries on the job.
Business Interruption Insurance – Helps replace lost income if your business operations are disrupted by a covered event.
Builder’s Risk Insurance – Covers buildings and structures under construction, including materials, equipment, and labor costs in the event of damage from fire, theft, vandalism, or weather-related incidents during the build.
Click here to read more about the different types of P&C insurance.
Why It Matters
Without P&C insurance, you’re exposed to the full financial burden of accidents, disasters, or lawsuits. A single unexpected event—like a fire, car accident, or slip-and-fall claim—could cost thousands (or millions) out of pocket.
If you're a business owner, land developer, or builder, P&C insurance isn't just a good idea—it's often required by lenders, landlords, or state law.
How It Works
You pay a premium to the insurance company.
If something happens that’s covered under your policy, you file a claim.
After reviewing the claim, the insurance company may cover the loss or liability, minus any deductible you’re responsible for.
Each policy spells out exactly what’s covered—and what isn’t—so it’s important to understand the fine print or work with a team that does.
Is There a Way to Save?
Some larger businesses are starting to take control of their own P&C insurance through innovative strategies that allow them to save and even turn insurance into a revenue-generating asset. If you’re paying $1M+ in premiums, there may be a smarter way to handle it. (Hint: we can help.)
Final Thoughts
P&C insurance helps protect your finances, your belongings, and your peace of mind. Whether you’re a homeowner, a driver, or a business owner, understanding how this coverage works—and whether you're overpaying or underinsured—is critical.
