Governments providing terror coverage backstops

Veysey, Sarah
June 2003
Business Insurance;6/9/2003, Vol. 37 Issue 23, p20
Continuing concerns about terrorism, sparked by recent terrorist activity and the conflict in Iraq, have kept the need to mitigate terrorism risks high on the agenda of risk managers across the globe. And in several countries, governments and insurer groups have responded to buyers' fears about an inability to obtain terrorism insurance by providing new coverage backstops or by broadening the scope of existing terrorism pools. In addition to the U.S. government's creation of a federal backstop for terrorism risks, terrorism coverage facilities have been established in Germany, Austria and France, while Australia's federal government is exploring the creation of a coverage program. Austrian insurance association, Verband des Versicherungsunternehmen Osterreichs, in 2002 announced its plans to establish an insurance and reinsurance pool to provide property coverage-including business interruption-for terrorism risks. In France, where the government has long provided a backstop for coverage of natural catastrophes through Caisse Centrale de Reassurance, a company was formed in 2001 to cover terrorism losses. In Spain, where the Basque separatist organization the Euskadi Ta Askatasuna has committed numerous acts of terrorism since the 1960s, the insurance pool Consorcio de Compensacion de Seguros covers terrorism risks.


Related Articles

  • TRIA already is a success.  // Business Insurance;2/24/2003, Vol. 37 Issue 8, p8 

    Editorial. Discusses the success of the Terrorism Risk Insurance Act (TRIA). Guarantee of a federal back-stop for losses arising from any terrorist events; Responsibility of insurers to offer terrorism coverage to policyholders; Risk management tool offered by TRIA.

  • Agents, Brokers Offer Views On Managing Terror Risks After TRIA. Ha, Michael // National Underwriter / Property & Casualty Risk & Benefits Manag;6/30/2003, Vol. 107 Issue 26, p16 

    Discusses the potential impact of the Terrorism Risk Insurance Act on insurance agents and brokers offering risk management advice and services in the U.S. Benefits of the federal reinsurance program; Management of terrorism risks; Side effect of a soured economy.

  • TRIA STABILIZES COMMERCIAL/MULTIFAMILY MARKETPLACE.  // Mortgage Banking;Jan2004, Vol. 64 Issue 4, p114 

    Delves into the Terrorism Risk Insurance Act of 2002 (TRIA) in the U.S. Purpose behind the creation of TRIA; Views of Gail Davis Cardwell, senior vice president for commercial/multifamily originations in the Mortgage Bankers Association, on the need for terrorism insurance; Impact of inadequate...

  • Tort reform gets new push: Terror will be recast. Hofmann, Mark A. // Business Insurance;11/11/2002, Vol. 36 Issue 45, p1 

    Reports that control of the U.S. Congress and the White House by the Republicans could result in enactment of legislation on many issues important to risk managers. Effect of power shift on the enactment of terrorism reinsurance legislation; Statement of the president Christopher Mandel of Risk...

  • TRIA, ART Fill Terrorism Coverage Gaps. McDonald, Caroline // National Underwriter / P&C;1/24/2005, Vol. 109 Issue 3, p29 

    Looks at how risk managers in the United States are addressing the issue of terrorism insurance. Impact that the Terrorism Risk and Insurance Act (TRIA) has had on the cost of terrorism coverage; Expiration of the TRIA at the end of 2005; Improvement in the overall situation for terrorism...

  • Is Terrorism Coverage Adequate?  // National Underwriter / P&C;4/19/2004, Vol. 108 Issue 15, p34 

    Reports on the need for governments to re-examine whether their terrorism insurance arrangements can cope with the rising risk of terrorist attacks. Efforts of the U.S., Great Britain and European countries to improve terrorism insurance coverage availability and affordability; Need for U.S....

  • Thinking the Unthinkable. Egan, Michael P. // Best's Review;Aug2005, Vol. 106 Issue 4, p80 

    Focuses on the need for insurance companies to understand the coverage of terrorism insurance in the U.S. Similarity of underwriting to the risk management; Uncertainty over the extension of the Terrorism Risk Insurance Act; Difficulty of qualifying the psychological aspect in underwriting.

  • An Overview Of The Insurance Market That Examines The Present And Projected Upcoming Trends Segmented Into Practice Areas.  // Insurance Advocate;11/10/2003, Vol. 114 Issue 42, p6 

    Part II. Provides an overview of the insurance market which examines the present and projected upcoming trends into practice areas in the U.S. Improvement in the property insurance market in the third quarter of 2003; Outlook for the remainder of the year; Manner in which an insured can...

  • Underwriters seeking more info from buyers. Veysey, Sarah // Business Insurance;10/27/2003, Vol. 37 Issue 43, p4 

    The quality of risk information risk managers provide to insurers will become increasingly important in underwriting and pricing decisions, according to a panel of industry experts. In addition, insurers have been re-evaluating their underwriting in light of recent natural catastrophe events....


Read the Article


Sorry, but this item is not currently available from your library.

Try another library?
Sign out of this library

Other Topics