ACE USA Reports on Global Security Trends, Issues and Risk Management Tactics; White Paper Explores Global Upswing, Impact of Kidnap & Extortion.

PHILADELPHIA -- ACE USA, the U.S.-based retail operating division of the ACE Group of Companies, reports that global security threats to multinational businesses and organizations are on the rise, mirroring the scope and complexity of today's global marketplace itself. As reported in its white paper entitled, "Managing Kidnapping, Extortion & Other Global Security Risks," incidents of kidnap for ransom, hostage taking, "war tax" demands and other extortion tactics, piracy and sabotage are occurring more frequently, and in more locations worldwide, than ever before.

To be presented at the annual Risk and Insurance Management Society's (RIMS) annual conference in Honolulu on Wednesday, April 26, 2006, the paper provides insight into the nature of global security risk and the factors that drive it, and examines various types of risks including the dynamics of kidnapping and extortion. Tips for assessing and managing global security risk are also detailed, including the core essentials of a global security risk response plan, considerations for selecting an expert crisis prevention and response consultant, and considerations for selecting a global insurance carrier.

Author Jean McDermott-Lucey, Vice President, ACE International & Specialty Group, reports that kidnap and other global security threats are not limited to war zones or high-risk regions. "Regardless of size or revenue, any organization can be compromised anywhere, at any time, and organizations that ignore the reality of global security risks do so at considerable cost to their human, physical and financial assets," she commented.

The best risk management approach, advised Ms. McDermott-Lucey, is to anticipate the occurrence of kidnap, extortion and other global security incidents, and to take proactive measures designed to lessen their likelihood and minimize their impact. Educating employees about what to expect and how to stay safe before they travel is vital to minimizing their kidnapping risk. Restricting or documenting database access can reduce the risk of cyber theft and extortion. Then, if an incident occurs, rapid and expert response on the part of the organization is paramount, she stressed.

"The time to ask questions is before an employee is threatened - who will authorize the ransom payment, and how quickly can it be transferred? Is the organization prepared to react to kidnaps of foreign nationals and expatriates? Does the organization have the specialized expertise that is needed to negotiate with the kidnappers? These are just a few of the questions risk managers must ask when preparing to respond to the very real threat of employee kidnapping," reported Ms. McDermott-Lucey.

Benefits of ACE USA's Kidnap & Ransom coverage include access to consulting services provided by Neil Young Associates, a world leader in the special risks market, with expertise in advising individuals and multinational corporations on the prevention of and response to kidnap and extortion. The policy also provides coverage for ransom and extortion expenses, in-transit loss of ransom, legal fees, incident response, medical costs, and accidental death and dismemberment. Covered events include actual, alleged or threatened kidnap incidents; extortion demands threatening bodily injury; property damage, product adulteration and disclosure of proprietary information; detention of a person without ransom demand; and hijacking. Limits ranging from $250,000 to $25 million are available, with no deductible.

"The Kidnap & Ransom and related coverage that ACE USA provides helps organizations protect their most valuable asset -- their people," said Ms. McDermott-Lucey. "By emphasizing prevention and protection, our number one goal is to help businesses avoid these incidents altogether. Recognizing that kidnapping can and does occur, however, our policy includes the services of highly specialized and expert crisis response professionals as well as reimbursement for ransom and related expenses."

For more information or to request a copy of the white paper (available after April 20, 2006), please contact Jean McDermott-Lucey, ACE International & Specialty Group at [phone] or [e-mail].

ACE USA is the U.S.-based retail operating division of the ACE Group of Companies, headed by ACE Limited (NYSE:ACE), and is rated A+ (Superior) by A.M. Best Company and A+ (Strong) by Standard & Poor's. ACE USA, through its underwriting companies, provides insurance products and services throughout the U.S. Additional information on ACE USA and its products and services can be found at www.ace-ina.com. The ACE Group of Companies provides insurance and reinsurance for a diverse group of clients around the world.