From Actuarial Outpost Wiki
Property insurance policies generally refer to insurance covering first party damage and loss, to things that are owned or used such as buildings, vehicles, equipment, and money. Casualty insurance policies generally refer to insurance covering third party injury and damage, due to legal liability arising from use of premises, use of automobile, workplace injury, products sold, and errors from doctors or other professionals.
Property and casualty insurance is believed to date back to about the 1500's with the practice of cargo owners to jointly reimburse an individual cargo owner whose cargo was lost at sea (source?)
Property and casualty actuarial work is believed to date back to the late 1890's and the early 1900's with the advent of employers liability and workers compensation insurance. (Rodermund, in Casualty Actuarial Society Foundations of Casualty Actuarial Science, 1990, p.2)
The distinction between property and casualty was important in the first half of the twentieth century in the US because an insurance company would be licensed to write either property insurance or casualty insurance, but not both. This licensing restriction has since been removed. With this removal came the ability of insurers to write package policies such as homeowners and commercial multi-peril that cover both property and casualty insurance.