A detailed look at sample language from an Assailant Insurance Contract

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Commercial decision makers may have seen ‘coverage highlights’ or vague, abstract views of assailant coverage. To dive deeper, what sort of actual policy language should a buyer of an Active Assailant Insurance Contract Expect?

Protection for Losses Arising From An Attack at Insured Location.

Perils covered, directly resulting from an Attack that occurs during the policy term at an Insured Location:

  • Business Interruption, Extra Expense costs, resulting from the interruption of Your business at Your Property or an Insured Location(s) at which the Attack occurred.
  • Legal Liability. Damages and Claim Expenses which the Insured shall become legally obligated to pay, as a result of and solely and directly arising from an Attack;
    • provided that, Claims Made and Reported conditions are met: such Attack takes place on or after the Policy inception date and before the expiration, such Claim is first made against the Insured during the Period of Insurance, and notice of such Claim is given to the Insured in accordance with the conditions laid out in the Policy’s claim requirements
  • Direct physical loss of or physical damage to Contents and Property at the Insured Location at which the Attack occurred, including any physical damage caused by law enforcement or security forces responding to the Attack;
  • Reasonable costs incurred to repair or rebuild Your Property, including costs to remove debris, demolition and/or professional services which include architects, surveyors and engineers, that have been damaged as a direct result of an Attack occurring during the period of the policy;
  • Crisis Expenses (The following reasonable and necessary expenses incurred as a result of an Attack):
    1. Additional security measures: costs to arrange appropriate security guarding at the affected Insured Location or any other Insured Location, if necessary, but only for such costs incurred up to sixty days after the Attack.
    2. Counselling: costs to provide affected persons, physically present during the Attack, with psychiatric and counselling services and access to social workers, but only for such costs incurred up to twelve months after the Attack.
    3. Public relations and crisis communications: costs for public relations or crisis management consultants contracted by Us to assist You in responding to and managing the situation, including media management, remediation and recovery and the formation of applicable crisis communication strategies, but only for such costs incurred up to sixty days after the Attack

An Attack at any location within a five-mile radius of an Insured Location.

Indemnity for the following loss directly resulting from an Attack that occurs within a five mile radius of an Insured Location:

  • Business Interruption and Extra Expense;
  • Loss of attraction to an Insured Location as a direct consequence of an Attack;
  • Prevention of access by civil or military authority;
    • Business Interruption sustained by the Insured due to a Prevention of Access to Your Property or an Insured Location by order of a civil or military authority, providing such order is a direct result of an Attack that occurs during the Period of Insurance and takes place within a five-mile radius of an Insured Location.
    • Crisis Expenses, as a direct consequence of a Prevention of access to Your Property or an Insured Location.
  • Additional security measures being costs to arrange appropriate security guarding at the affected Insured Location or any other Insured Location, if necessary and subject to validation by the Response Consultant, but only for such costs incurred up to sixty days after the Attack;
  • Loss of Rent being the anticipated gross rental income from tenant occupancy of Your Property; the amount of all charges which are the legal obligation of the tenants, which would otherwise be Your obligation; and the fair rental value of any portion of Your Property which is occupied by You or the amount you are obligated to pay under a tenancy agreement as the Leaseholder.

Personal Accident Benefit

The Insurer should provide a Personal Accident Benefit for Bodily Injury and/or death sustained by an Insured Person solely and directly from an Attack at least up to 180 consecutive days from the date of the Attack.

Response Consultant Expenses

Indemnity for costs incurred for Response Consultant Services directly in response to an Attack, Threat or Stalking Threat;

  • Assessing the nature of the Attack or Threat or Stalking Threat and its potential impact on the safety of an Insured
    Person, Your products, business operations, Property, Electronic Property, and/or reputation;
  • Mitigating the impact of an Attack, Threat or Stalking Threat on the safety of an Insured Person, Your products,
    business operations, Property, and/or reputation;
  • Maintaining and/or resuming normal business operations during and/or immediately following a Threat or Stalking
    Threat.