The Terrorism Risk Insurance Act
|Copyright 2014 by Virgo Publishing.|
|By: Amy Brown|
|Posted on: 11/01/2003|
Last year, when you opened your holiday mail, you most likely found a greeting from your insurance company regarding your storage policy and the Terrorism Risk Insurance Act of 2002 (TRIA). You received this because shortly after the terrorism attacks of Sept. 11, 2001, building owners and managers were having a hard time securing adequate terrorism insurance at affordable rates and on reasonable terms.
President Bush signed the TRIA into law a year ago, making it so private insurers and the federal government share the risk of future losses from terrorism for the next three years. This law allows no exclusions to any states and gives policyholders the option to accept or decline the coverage. With the United States going in and out of heightened states of alert, storage owners across the nation are continually analyzing whether to buy or continue their terrorism coverage. Some are declining because they deem it unnecessary or too expensive. Some are simply counting on the government to help them out if another attack does occur.
The next time your policy is up for renewal, take some of the following information into consideration before you decide to accept or decline coverage:
Facts About the Terrorism Risk Insurance Act
As defined in Section 102(1) of the Act, “act of terrorism” means any act certified by the Secretary of the Treasury, in concurrence with the Secretary of State and the Attorney General of the United States, to be an act of terrorism; to be a violent act or an act that is dangerous to human life, property or infrastructure; to have resulted in damage within the United States, or outside the United States in the case of an air carrier or vessel or the premises of a United States mission; and to have been committed by an individual or individuals acting on behalf of any foreign person or foreign interest, as part of an effort to coerce the civilian population of the United States or to influence the policy or affect the conduct of the U.S. government by coercion.
It is no secret those who wish to hoard dangerous chemicals or explosives can do so in a self-storage unit. When it comes to terrorism, it is better to be too cautious than not. Most people use their geographical location and business type to help determine their risk of terrorist attacks and the need for terrorism coverage. Even though you feel secure about your facility not being a target for terrorism, alternative preparation is not a waste of effort for anyone in the storage industry. The following is a partial list of protective measures storage owners can take that are recommended by the Department of Homeland Security:
Universal Insurance Facilities Ltd. offers a comprehensive package of coverages specifically designed to meet the needs of the self-storage industry. For more information, or to get a quick, no-obligation quote, write P.O. Box 40079, Phoenix, AZ 85067-0079; call 800.844.2101; fax 480.970.6240; e-mail firstname.lastname@example.org; visit www.vpico.com/universal.