Definition - What does Property Damage mean?
Property damage refers to the partial or total destruction of a building, a house, a car, or a valuable object that is legally owned. The property damage might be caused by negligence, an intentional criminal act (such as burglary) or a natural event (such as lightning).
Insuranceopedia explains Property Damage
Property damage is a risk that can be covered by property insurance. However, a policy might not cover a particular peril. Damage caused by an earthquake, for example, should be specified in most property insurance policies so that a company can financially assist the policyholder with the repair or reconstruction of the damaged property. For an owner of a damaged property that does not have property insurance, their only hope for a reprieve is by asking government for tax cuts after they reports the damage.
The person who causes the damage is covered by property liability insurance. Most car owners, for instance, have this policy to protect them financially and legally should they figure in a vehicular accident that causes damage to other vehicles and motorists.