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Diane Publishing Books
Terrorism Insurance: Measuring and Predicting Losses from Unconventional Weapons Is Difficult, but Some Industry Exposure Exists
Orice M. Williams (au)
Terrorists using unconventional weapons, also known as nuclear, biological, chemical, or radiological (NBCR) weapons, could cause devastating losses. The Terrorism Risk Insurance Act (TRIA) of 2002, as well as the extension passed in 2005, will cover losses from a certified act of terrorism, irrespective of the weapon used, if those types of losses are included in the coverage. Because of a lack of information about the willingness of insurers to cover NBCR risks and uncertainties about the extent to which these risks can be and are being insured by private insurers across various lines of insurance, this report discusses (1) commonly accepted principles of insurability and whether NBCR risks are measurable and predictable; and (2) whether private insurers currently are exposed to NBCR risks and the challenges they face in pricing such risks. Figure. This is a print on demand report.
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