9/11 – An Occurrence That Changed The World

In the Spring of 2001, Silverstein Properties Inc (and related entities) acquired a 99 year lease over the World Trade Centre (WTC) owned by the Port Authority of New York and New Jersey. The lease required Silverstein Properties to take out insurance cover. Silverstein Properties retained Willis as its insurance broker. Willis negotiated a multi-layer insurance program by circulating a Property Underwriting Submission attaching, in some cases, a copy of Willis’ own broker form (or policy wording) known as the WilProp Form. The insurance program provided for total cover of $3.5billion on a "per occurrence" basis. The WilProp Form contained a definition of "occurrence" which treated all losses attributable to "a series of similar causes" as a single "occurrence". The definition was designed to benefit an insured by