Property Insurance?

As part of signing a lease, all renters in my building must buy property insurance.  After this weekend's hurricane flooding, I found this pamphlet in my mailbox:

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"NOTICE! This policy does not cover Flood Loss."

In a bright red box, First American Property & Casualty Insurance Company lets us know "This policy does not cover Flood Loss." I heard these sorts of stories after Katrina, but it's still quite a shock to experience it yourself.  

First American claims to "cover personal property owned or used by an 'insured' while it is anywhere in the world."  Although this sounds great, let's scroll through the 19 pages of fine print exceptions.  Listed exceptions are fire, electrical, explosion, or smoke damage; theft, vandalism, riot or civil commotion; freezing, ice, windstorm, hail, falling objects, or weight of ice, snow or sleet; business or professional services; water damage or flooding; landslide, mudslide, or mudflow; bodily injury; sudden and/or accidental tearing apart, cracking, burning, or bulging; neglect; Earth movements, including earthquake, land shock waves, or tremors before, during, or after a volcanic eruption; Sexual molestation, corporal punishment or physical or mental abuse; Communicable disease; Controlled substances; vehicle, hovercraft, or aircraft damage "this includes self-propelled missiles and spacecraft."  My personal favorite exception is war: "Undeclared war, civil war, insurrection, rebellion or revolution; Warlike act by a military force or military personnel; or Destruction, seizure or use for a military purpose. Discharge of a nuclear weapon will be deemed a warlike act even if accidental."

I can't even make up some of the things First American excludes (spacecrafts, really?)  My only lingering questions still is (and I honestly am curious), WHAT DOES PROPERTY INSURANCE ACTUALLY COVER?!?!?

Property Insurance?