What can be done in light of news reports emphasizing the horrifying global reality that terrorism can strike anywhere and cause losses and damages including injury and death?

The best way to stay safe, according to government posts on national counterterrorism, is to adopt a perspective on dubious activities. Did you notice anything that didn’t seem right nearby?

Then, call the hotline, which is open 24 hours a day, 7 days per week, to promptly alert the authorities.

What to report when calling the hotline:

• What you saw

• Who you saw doing it

• Where you saw it

• When you saw it

• Why you think the activity you saw can be classified as suspicious

An important step in securing your family, home, and place of business is being proactive. Would your current plan, however, be sufficient to protect your company’s facilities, contents, and operational vehicles in the event of the unthinkable—a terror attack—in your area?

The Overall Insurance Outlook

Before the terrorist attacks of September 11th, 2001, Americans believed that they were protected from harm and that the likelihood of terrorist attacks was low. During that era, insurance companies presented property and casualty “all perils” coverage that encompassed catastrophic losses caused by terror acts. Terrorist acts were, however, specifically excluded from many commercial insurance plans across the nation after the Twin Towers attacks as a result of industry panic. To add a separate terrorism rider to the policy, a company would now need to contact their agency if it wanted to be protected from terrorism.

What a commercial terror rider covers property damage or business losses, including:

• Damaged/destroyed vehicles (car, truck, motorcycle, boat)

• Workers compensation for injury

• Benefits for employees that lost their lives

What restrictions do terrorism insurance policies have? Nuclear, biological, and other armed conflicts are not covered by terrorism.

What criteria do insurance companies use to determine whether a person has experienced terrorist attacks? The Terrorism Risk Insurance Act was ratified by the US Congress in November 2002. The act gives the US Treasury Department the authority to decide whether a situation falls under the definition of terrorism. Accordingly, the act must be performed by “an individual or individuals as part of an effort to coerce the civilian population of the United States or to use coercion to change the policy or conduct of the American government.” A terrorist act must also result in insured damages of at least $5 million in order to be covered.

Customers can learn more about terrorism and related policies from an experienced independent insurance agency.

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