BestWeek: Terrorism Backstop Bill Leaves Lingering Questions.OLDWICK, N.J. -- Property insurers, brokers and major commercial insureds have found a host of common wish list items in the Terrorism Risk Insurance Revision and Extension Act, but even if it's passed, there remain unanswered questions about the effects the extension would have on the market for terrorism insurance Terrorism insurance is insurance purchased by property owners to cover their potential losses and liabilities that might occur due to terrorist activities. It is considered to be a difficult product for insurance companies, as the odds of terrorist attacks are very , according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. an exclusive story in BestWeek U.S./Canada. Chief among these are concerns about a new requirement that insurers offer coverage for nuclear, biological, chemical and radiological attacks with the same terms and conditions as that for conventional attacks. The change is being fought by both the National Association of Mutual Insurance Companies and the Property Casualty Insurers Association of America, whose members protest that it would amount to requiring insurance of uninsurable uninsurable Health insurance A high-risk person without health care coverage through private insurance who falls outside the parameters of risks of standard health underwriting practices. See Underwriting. risks. Some commercial insurance clients fear that mandating an NBCR NBCR Nuclear, Biological, Chemical and Radiological NBCR National Biomedical Computational Resource NBCR National Board for Certification of Registrars NBCR Nebraska Border Collie Rescue, Inc. offer will come at the cost of diminished capacity This doctrine recognizes that although, at the time the offense was committed, an accused was not suffering from a mental disease or defect sufficient to exonerate him or her from all criminal responsibility, the accused's mental capacity may have been diminished by intoxication, for conventional terrorism. Also in BestWeek Europe: As they look beyond their shores, U.S. catastrophe modelers would do well to consider the advances European organizations have made into the assessment of cat risk, according to Franklin W. Nutter, president of the Reinsurance The contract made between an insurance company and a third party to protect the insurance company from losses. The contract provides for the third party to pay for the loss sustained by the insurance company when the company makes a payment on the original contract. Association of America. Also in BestWeek U.S./Canada: A.M. Best Co. believes the extension of the federal government's terrorism reinsurance program is critical to the financial health and stability of the property/casualty insurance sector, according to a new special report excerpt. And in both editions of BestWeek: The Best's Global Insurance Composite Index Composite Index A grouping of equities, indexes or other factors combined in a standardized way, providing a useful statistical measure of overall market or sector performance over time. Also known simply as a "composite". finished the week of June 21 up 24.93% from a year ago. The composite index reflects the performance of 181 insurance stocks. The week's top performers were China Insurance International, SCPIE SCPIE Southern California Physicians Insurance Exchange Holdings, Alleghany Corp., Singapore Reinsurance Corp., and Mercer Insurance Group. The bottom five performers were Chaucer Holdings, Korean Reinsurance Co., NYMagic, Amlin, and Progressive. BestWeek is published by A.M. Best for insurance professionals. To subscribe, please call A.M. Best's customer service department at (908) 439-2200, ext. 5742, or e-mail your request to customer_service@ambest.com. Founded in 1899, A.M. Best Company is a full-service credit rating organization dedicated to serving the financial services industries, including the banking and insurance sectors. For more information, visit www.ambest.com. |
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