Following the events of September 11, 2001 the federal government enacted the Terrorism Risk Insurance Act (TRIA) in 2002 to guarantee the availability of insurance coverage against international acts of terrorism. Under the Act, commercial insurers are required to offer insurance coverage against such terrorist incidents, and the federal government reimburses them for paid claims, subject to deductible and retention amounts. The methodology behind this legislation was to stimulate business investment and to give the insurance market time to recover from attacks and develop new programs.
As a result, property terrorism coverage can be purchased as a stand-alone policy or endorsed onto a variety of policies, including commercial property, automobile, and general liability insurance policies. Chivaroli and Associates can assist your organization in evaluating potential exposures to terrorism and assess the need and limit of coverage.
