The Growing Risk of Terrorism Loss

Terrorism insurance covers property damage and business losses from acts certified as terrorism by the Treasury Department.

Before the September 11, 2001 attacks, insurance companies typically included this coverage for commercial customers at little to no extra cost. In response to the attacks, Congress enacted the Terrorism Risk Insurance Act in November 2002, which established a framework for how terrorist acts would be covered. Since then, insurers have developed methods to assess terrorism risk, which is heavily influenced by location. Businesses in major urban areas, often seen as potential targets, are considered to have the highest exposure.

However, regardless of your business’s size or location, terrorism coverage is now a vital component of any comprehensive risk management program. The licensed insurance professionals at Hilb Group can help assess your specific exposure and coverage needs, provide expert advice, and secure the right insurance for your business.