What is the primary purpose of property insurance?

The primary purpose of property insurance is to protect against financial loss resulting from damage to or loss of property. This type of insurance provides coverage for various types of property, including homes, personal belongings, and commercial assets, ensuring that policyholders can recover financially in the event of incidents such as theft, fire, or natural disasters. By compensating for the repair or replacement costs, property insurance helps individuals and businesses maintain stability and mitigate the financial burden associated with property-related losses.

The other options highlight different types of insurance coverage that serve distinct purposes. Medical expenses relate to health insurance, liability coverage pertains to general liability insurance to protect against claims of negligence, and workers' compensation deals specifically with employee injuries at work, which does not align with the core function of property insurance.