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Presented by: Terrorism Risk and Coverage Demand for terrorism insurance is strong in large cities, but not in smaller cities that may still be at risk.

There’s a great deal of capacity for terrorism coverage in the U.S. It’s a question of: is the buyer willing to buy it or not?

Sanjay Godhwani, Chartis U.S. and Canada Region

The demand for terrorism insurance is strong for buildings that might be targets in central business districts like New York, San Francisco and Chicago. But people tend not to buy coverage in cities like Dallas, Portland and Detroit, even though they are also at risk and coverage is considerably less expensive.

Internationally, there has been interest in more coverage in places like Southeast Asia, the Asia-Pacific region and certain parts of the Middle East, though capacity is not as readily available as it is in the U.S.

Copyright © 2011 by A.M. Best Company, Inc. All rights reserved. No part of this report may be reproduced, stored in a retrieval system or transmitted in any form or by any means; electronic, mechanical, photocopying, recording or otherwise.

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