What type of loss does pecuniary insurance cover?

Pecuniary insurance specifically covers financial losses that are related to specific casualties, such as business interruptions or losses caused by particular events. This type of insurance ensures that an entity can recover financially from losses that aren't tied directly to physical damage, but rather to the monetary impact of an incident.

For instance, if a business experiences a loss of revenue due to a fire that disrupts operations, pecuniary insurance would cover those financial losses rather than any property damage incurred. This makes it vital for businesses that seek to protect their income streams against unforeseen events.

The other options do not encompass the full scope of pecuniary insurance. While property damage and bodily injuries are critical concerns addressed by different types of insurance, pecuniary insurance is uniquely focused on the financial ramifications of specific situations rather than purely tangible losses or injuries. Additionally, losses that are uncertain and unquantifiable are typically challenging to insure against, as they cannot be effectively measured or predicted, which is contrary to the fundamental purpose of pecuniary insurance.