Which type of insurance covers financial loss due to incidents like theft?

Pecuniary insurance specifically addresses financial losses that are not tied to physical property damage or bodily injury. It is designed to cover losses resulting from incidents such as theft, fraud, or business interruption, where the financial implications are significant but do not involve damage to tangible assets. This type of insurance focuses on safeguarding the insured against the economic consequences of such incidents rather than covering the replacement or repair of property.

While property insurance does cover losses due to theft, it primarily involves the physical property aspect and the cost associated with replacing or repairing physical items rather than the broader financial aspects that pecuniary insurance covers. Liability insurance protects against legal claims arising from injuries or damages caused to others, and health insurance specifically pertains to medical expenses, making them unsuitable for covering financial losses due to theft. Therefore, pecuniary insurance is the correct choice for covering financial losses from incidents like theft.