Casualty insurance is a wide term that is used to cover insurance which is not covered by other insurance policies. It also covers accidents and damages which are caused by omissions and negligence.
One of the most common casualty insurance covers automobile accidents which may involve the driver, passengers and others who are injured at or near the scene of the accident as well as property damaged. Casualty insurance will cover a 'no fault' driver for accidents caused when it was not the fault of the driver. It will cover repairs to your car and the other car damaged, cover your medical bills, treatment of passengers and pedestrians who were injured as well as compensate for the damage of property.
Homeowners take casualty insurance to cover anyone injured in or within their home. These include those who live in the home, visitors and others who may be hurt within your home. If this insurance is not taken you may find yourself confronted with medical bills when a visitor or a neighbor gets hurt in your home.
There is a property and casualty insurance which covers the property itself for theft and damages and any direct accidents which arise. The insurance is combined.
Some liability insurance can be classified under casualty insurance. Individuals and businesses protect themselves against legal liability for any losses arising from injury to other people within the home or business property and also any damages to property belonging to other people. Construction, transportation and manufacturing industries include casualty insurance in their policies to cover losses due to accidents which can happen in the site, factory or industries and harm other people and their property.
Employers are required to take a Workers' Compensation policy to cover the workers who get injured in the course of their duty whether it is at the workplace or for drivers and other working away from the workplace. Crime insurance covers the policyholder against losses and damages which are caused by burglary, theft, fraud and embezzlement.
Casualty insurance also includes
• Terrorism insurance
• Employee Theft
• Medical and Miscellaneous Medical Malpractice
• Cyber Liability and Network Security
• Fidelity insurance
• Political risk insurance
• Professional Liability with Miscellaneous Errors and Omissions
Terrorist attacks resulted in losses of billions of shillings to the insurance companies. There arose a need to cover terrorism in a class of its own. Employers have a risk of losing money to employees who handle cash and have access to company funds due to theft or dishonesty. Those in the medical field can find themselves in great losses due to malpractices, errors and omissions, privacy exposures, data loss, fines and penalties. Political risk insurance covers businesses which operate in countries where there is a likelihood of unrest.
There has been an increase in identity theft and internet fraud recently. These include hacking, virus attacks, loss of online data files and privacy protection among others. The insurance also covers loss of data that has been damaged or corrupted.