Less than 3% of SMEs have terrorism insurance

Biba and Pool Re have launched a terrorism insurance guide aimed at brokers.

The aim of the guide is to increase understanding of the risk class and boost its take-up, Biba said in a statement.

It said that less than 3% of SMEs buy terrorism insurance, despite risks constantly evolving since Pool Re was set up in 1993 in the wake of attacks by the IRA.

The guide provides information on Pool Re and other insurers, and gives advice on how clients can assess vulnerability to terrorism.

Biba executive director Graeme Trudgill  said: “Now that legislation has enabled Pool Re to extend its remit and expand its cover options to include cyber terrorism there is more capacity for terrorism insurance. We need to increase awareness of the risks of terrorism to businesses and especially SMEs.

”Businesses whose trading is affected by an incident can turn to insurance to help them get back on their feet. This guide will play an important part in helping insurance brokers to help companies understand the benefits of terrorism insurance and, in turn, increase the resilience of UK businesses, strengthening the economy.”

“Pool Re was delighted to be the key contributor and sponsor of the BIBA Terrorism Insurance Guide. We recognise the vital role insurance brokers play in ensuring commercial policyholders obtain the most appropriate insurance cover for their business. This guide highlights the argument that there are few businesses that can afford not to buy terrorism cover,” commented Pool Re chief executive Julian Enoizi.