DO INSURANCE COMPANIES COVER THE CONSEQUENCES OF TERRORIST ACTS?

DO INSURANCE COMPANIES COVER THE CONSEQUENCES OF TERRORIST ACTS?

After the sad events that took place in Paris last November 13, there are many who wonder if insurance will cover the expenses caused by the terrorist acts. In situations like these there is that regret multitude of damage personal and materials.

Who takes care of medical expenses and, if necessary, repatriation of wounded or deceased? Do all material damage cover insurance? Does the coverage of death by any cause of life insurance include terrorist acts? We addressed these and other questions here.

LIFE INSURANCE AND TERRORISM: COVERAGE OF DEATH BY ANY CAUSE

In theory, any cause is that, any cause. However, as life insurance is concerned, any reason is a somewhat narrower concept. This does not mean those who have contracted life insurance do not have coverage in terrorist attack. In this case, compensation is responsible the Consorcio de Compensación de Seguros.

As they reported in Belt.es in July 2005, the massive terrorist attacks who had suffered in Europe and North America gave rise to the transformation of the insurance industry worldwide. In Spain, given the magnitude of the tragedy and the magnitude of the terrorist threat the international reinsurance companies decided to refuse to continue to assume the life insurance in the event of a terrorist attack in Spain after the attack of 11 March 2004 in Madrid. And without international reinsurance, the cost is so high for national companies that the private insurance sector requested the Government not continue to assume these policies.

The Ministry of finance accepted and since 2006 the coverage of such risks is the responsibility of the Consorcio de Compensación de Seguros.

CONSEQUENCES OF TERRORIST ACTS AND OTHER INSURANCE

As you can read on the page of the Consorcio de Compensación de Seguros, in the section 'Covered risks', paragraph b, covered damage violently as a result of terrorism, rebellion, sedition, mutiny and popular tumult.

Moreover, with the entry into force of law 29/2011 September 22, recognition and Integral Protection of the victims of the terrorism, is the Administration who faces the damage and injuries suffered by victims for terrorist acts, being the Ministry of the Interior who must deal with complaints. This law aims to redress to victims through compensation and aid for personal or material damages that have been able to suffer.

MEDICAL CARE, REPATRIATION AND TERRORISM

In Spain, the victims urgent care, done through the national health system and, according to the law 29/2011 cited above, regulate the financial aid in prostheses, surgical operations and medical expenses in the amounts that are not covered by welfare systems that have victims.

Outside of Spain, each country has its own system, so what is good always travel with insurance to cover medical care in the country to which you travel, and if it is a country of the European Community, remember to obtain the European health insurance card.

Repatriation coverage can enroll in life insurance, health insurance, travel insurance and death insurance. In addition, you can hire a repatriation insurance. But, what if you don't have this coverage contracted in any of your insurance and suffer the consequences of a terrorist act? In general, the Government takes charge of the repatriation in extreme cases, such as terrorist acts.

SPECIAL INSURANCE COMPANIES AND THE INSURANCE FOR TERRORISM

As a result of the aforementioned attacks in Paris, the German insurance company Allianz announced it expects an increase in demand for insurance for terrorism, as it took place after the attacks of September 11, 2001 in New York.

Allianz, which has qualified limited the financial damage that will have for the German insurer Paris bombings. This is due to that damage from terrorism in France are covered by the reinsurer Gareat, as in Germany by the special insurance company Extremus, which was created by German insurers since the attacks of September 11, 2001 in New York to ensure damage by terrorism in Germany, and she also participates Allianz, which covers claims up to 2,500 million euros , amount that should be insufficient would increase to 7,500 million euros

As reported by the German insurer, from the Arab spring there is a growing interest in these special insurance, Allianz offers from May to other countries that are not Germany and France through a policy of industrial insurer Allianz AGCS.