What type of insurance policy covers loss or damage caused by fire or lightning?

Fire insurance is specifically designed to cover loss or damage caused by fire and, in many cases, lightning. This type of policy provides financial protection for properties, ensuring that the insured can recover or repair their belongings after a fire incident occurs. Fire insurance typically includes coverage for the physical structure of the property, as well as personal belongings that may have been damaged or destroyed in a fire.

While some broader forms of property insurance might encompass fire damage, the distinctive nature of fire insurance indicates its primary focus on losses specifically from fire or lightning, making it the most appropriate and precise answer for the question posed. This specialization ensures that policyholders have dedicated coverage tailored to the unique risks associated with fire-related incidents. Other forms of insurance, such as health or liability insurance, do not address property damage, and thus are not relevant to this specific inquiry.