Religious terrorism risks must be sorted out by government and Pool Re, according to one of Britain's most senior risk managers.
Malcolm Lambert, financial risk manager for London Underground explained that Pool Re may not cover religious or idealogical risks. However, he added, the goverment's definition of terrorism includes these risks specifically.
"This could lead to terror claims being excluded by both Pool Re and property insurers," said Lambert
Lambert also rounded on Pool Re for its inflexible pricing policy. He said that Pool Re was unable to lower premiums for organisations that want to build up their deductibles.
"We are content to take a £5m deductible and limit our cover to a first loss sum insured, but there is no incentive to do this with terrorist risks if the premium remains unaltered by doing so," he said.
