Terrorism Risk and Insurance

The leading Insurance Information Institute gives insight in the connection of terrorism risk and insurance. Of course we have -at all times – to protect our citizens and society from heavy losses and essential disruption. But in case of an emergency, what can the public relevance of insurance be? What actually can be insured and what not?

“In addition to the risk of natural disasters, the insurance industry faces the threat of terrorist attacks. Losses stemming from the destruction of the World Trade Center and other buildings by terrorists on September 11, 2001, totaled about $31.6 billion, including commercial liability and group life insurance claims—not adjusted for inflation—or $42.9 billion in 2016 dollars. About two thirds of these losses were paid for by reinsurers, companies that provide insurance for insurers.”