Covering the unthinkable: in today's world, no insurance package is really complete without terrorism insurance.

If you knew people who did not have health-care insurance, you would probably give them a lecture as to why they should have it. You might advise them why it is dangerous and irresponsible of them to be uninsured.

They likely would respond with two points: First, they would say they couldn't afford it and their second defense would be that they really didn't need it because the chances of getting injured are slim. Both ate poor reasons. Even if they never have ah accident that requires insurance, not having coverage is risking losing everything they do have.

We have a similar situation in the commercial insurance arena with whether of not businesses should have terrorism insurance. While the Terrorism Risk Insurance Act of 2002 and its two-year extension, the Terrorism Risk Insurance Extension Act, mandate that insureds ate offered coverage for a terrorism attack, a surprisingly large number of businesses ate choosing not to purchase it. And that, too, is a mistake.

The rationalization for not obtaining terrorism insurance covers a similar spectrum as to the uninsured individuals: Some businesses feel they can't afford it: most feel they are not a target unless they ate based in a major city.

Neither argument is compelling. The cost of terrorism insurance has decreased drastically in the past four years, almost to the point of "throw-in" in some cases. And the threat of a terrorist attack has never been more real, according to the experts.

Shortly after the tragic events of Sept. 11, 2001, the National Commission on Terrorist Attacks Upon the United States was formed. This independent, bipartisan group of 10, chaired by former N.J. Gov. Tom Kean, was given the monumental task of reviewing the country's susceptibility to another terrorist attack, as well as our preparedness in the event that an attack took place.

Their original report in the summer of 2003 received significant attention from the media and public. With the attacks relatively fresh on the nation's mind, the commission showed some gaping holes in security and offered 41 specific recommendations for improvement.

The 9/11 Commission issued a follow-up report on Dec. 5, 2005, with substantially less fanfare. The corresponding lack of media coverage adds confirmation to the commission's feeling that we have lost focus and energy in our goal to prevent another terrorist attack on the United States.

The remarks accompanying the report ate frank in their frustration. They state that "many obvious steps that the American people assume have been completed have not been" and that "some of these failures are shocking."

The commission--people who have devoted countless hours to studying this situation--further commented: "While the terrorists ate learning and adapting, our government is moving at a crawl." And in a chilling summary, the commission states: "We believe the terrorists will strike again."

With this in mind, why ate businesses so reluctant to purchase terrorism insurance? Why are agents and brokers so willing to allow their clients to go unprotected?

Insureds need to be educated on the need and availability of terrorism insurance. When terrorism first began to be offered as a separate product, the costs were considerable, especially in target areas. Major cities such as New York and Chicago are still seeing high rates, though availability is increasing and prices are falling.

But what about locations which ate not in metropolitan areas? Terrorism coverage is readily available and it is generally inexpensive. Some carriers and programs are automatically including coverage for terrorism. Astute buyers should lean toward these comprehensive programs.

The other argument is that insureds don't see a need for it. Well, one of the basic principles of insurance is that you should be covered for the unthinkable. The tragic events on Sept. 11,2001, were the definition of unthinkable.

Terrorist groups ate out to hurt Americans. "This very day the, are plotting to do us harm," the commission stated. These terrorist groups see every American as a target.

Obviously, certain locations ate more susceptible than others; but any public gathering place can be considered a potential target. Businesses such as hotels and restaurants are susceptible anywhere because of the unknown nature of the customers that have access to the insured's premises.

It is unfortunate that Americans seem to have lost fervor in the domestic terrorism issue. As ah industry, we need to make sure that our clients are getting full coverage--and any coverage plan that does not include terrorism is incomplete.

Michael P. Egan, a Best's Review columnist, is director of property programs at NSM Insurance Group in Conshohocken, Pa. He can be reached at [e-mail].