Casualty insurance is a broad spectrum of insurance policies that a number of types of insurance could be classified, such as auto, workers’ compensation, and some liability insurances.
Crime insurance is a form of casualty insurance. It covers the insured against losses incurred from the criminal acts of third parties. For example, a company can purchase crime insurance to cover losses due to theft or embezzlement.
Terrorism insurance provides protection against losses or damages caused by terrorist activities. In the United States, in the wake of 9/11, the Terrorism Risk Insurance Act 2002 set up a federal program that provides a transparent system of shared public and private compensation for most insured losses incurred from acts of terrorism.
The program was extended up until the end of 2014 through the Terrorism Risk Insurance Program Reauthorization Act 2007 (TRIPRA).
Kidnap and ransom insurance is designed to protect individual and corporate policyholders operating in high-risk areas around the world against losses and perils incurred through kidnapping, extortion, wrongful detention, and hijacking.
Political risk insurance is a form of casualty insurance that can be purchased by businesses with operations in countries where there is a real risk of revolution or other political conditions that may cause losses on the businesses’ part.