Article by Nicholas Hughes and Fernando Albino
More than a year after the terrorist attacks on 11 September 2001 and in the face of heightened security worries and some examples of further terrorist acts, a number of jurisdictions have developed and are introducing mechanisms to tackle the perceived lack of adequate commercial insurance cover for losses arising out of acts of terrorism. When these schemes are applied to the property, and liabilities incurred by an industry such as aviation with existing, sometimes mandatory, schemes of insurance and integrated global operations, considerable complexity results.
US TERRORISM RISK INSURANCE ACT 2002
On 26 November 2002, President George W Bush signed into law this Act, often referred to as TRIA, which immediately became effective. It is an Act administrated and implemented by the US Treasury who meantime have issued guidance on aspects of its implementation no doubt in the face of a barrage of enquiries.
