What type of policy is specifically used to insure properties for business purposes?

Commercial property insurance is the correct choice for insuring properties used for business purposes. This type of policy is designed to protect businesses from various risks associated with their physical assets. It covers damage to buildings, equipment, inventory, and other property used in the operation of a business due to perils such as fire, theft, vandalism, and natural disasters.

Having a commercial property insurance policy is crucial for business owners, as it not only provides financial protection but also helps in meeting contractual obligations often required by landlords or lenders. This type of coverage is tailored specifically to the unique needs and operations of businesses, which distinguishes it from other insurance types aimed at personal or residential properties.

Homeowners insurance, on the other hand, is designed for personal residences and does not provide coverage for properties used primarily for business activities. Specialty coverage typically refers to insurance designed for unique or high-risk situations but does not specifically cover standard business operations. Personal property insurance is similarly focused on individual belongings and residential contexts, making it unsuitable for business property needs.