A plumbing company must carry which type of insurance?

• A. General liability 250,000 + Unemployment Insurance
• B. Health insurance for all employees
• C. Auto liability coverage
• D. Property insurance

Answer: (D)

Protecting the business’s physical assets is essential for a plumbing company. Property insurance covers damage to tools, shop space, equipment, and vehicles from fire, theft, vandalism, and other hazards, helping the business recover quickly and stay in operation. While other insurances like general liability or auto liability are important in many situations, property insurance is the coverage most commonly required to safeguard the core assets and ensure the company can continue functioning after a loss. Health insurance for all employees and unemployment insurance are important in different contexts, but property coverage is the one that directly protects the business’s tangible assets.