Which of the following risks is commonly covered by property insurance?

Property insurance is designed to protect individuals and businesses from financial loss associated with damage or destruction of property. This type of insurance commonly covers specific risks that affect physical assets, such as buildings and personal belongings. Earthquake damage is one such risk that can be covered under property insurance, although it may require a separate endorsement or policy, as not all standard property insurance policies automatically include earthquake coverage.

The other options represent risks that are typically not covered by property insurance. Loss of employment pertains to income and financial security rather than property. Legal disputes involve liability and may be addressed under different types of insurance, such as liability insurance. Auto accidents, while they do involve property damage, are primarily covered under automobile insurance rather than property insurance.

In summary, earthquake damage aligns with the scope of risks that property insurance aims to cover, making it the correct choice. Understanding the specific types of coverage available within property insurance policies is crucial for effective risk management and financial protection.