A burglary or theft insurance is one wherein the insurance company covers you if a burglary or theft occurs in your insured house. Additionally, it also covers valuable contents that get stolen or damaged. The policy can include cover for cash, valuables, securities kept in a locked safe or cash box in locked steel cupboard.
Do note, however, that not all insurance policies cover theft and burglary at the same time. One policy could cover burglary and not theft and vice versa.
This brings us to the difference between the two situations. While you may use the words ‘burglary’ and ‘theft’ interchangeably, the two have different meanings in law and this is taken into consideration by the insurers, too. Burglary can be defined as the act of breaking-in through violent or forcible means. So, if anyone breaks your home’s window to get into the house or breaks open your cupboard to steal it, then it would be considered burglary.
Theft, in contrast, would mean the person committing the crime had access to the house or its valuables.