What are the basic principles of property insurance? There are two major types of insurance that protect your real and personal property, and that of others: property insurance and liability insurance As several of the principles on which property and liability insurance are based differ from those underlying life and health insurance, it is important that you be aware of these differences so that you can structure your coverage and respond to a claim appropriately. vand due to The purpose of property insurance is to protect policyholders against losses to their catastrophe and calamity. for These contracts require policyholders to identify and describe the property that is covered and to specify the causes of loss, called which a policyholder will be compensated in the event of loss. However, instead of protecting against every possible cause of loss, property insurance policies generally restrict their protection to carefully specified causes of loss and specifically exclude causes that the insurance companies don't wish or can't afford to cover. Which of the following are typical causes of loss that are usually limited or excluded from most homeowner's or automobile insurance policies? Check all that apply Earthquake Rising water or flooding Nuclear radiation D Ordinary wear and tear