Terror Risk Specialty Practice

Investment Banking Specialty Practice - Guy Carpenter

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The Terror Risk Specialty Practice was created in response to the market crisis following the events of September 11, 2001. The Specialty focuses our substantial resources on managing clients' terror exposures throughout the world and across various business lines, including but not limited to, property, workers compensation and accident and health. We keep abreast of pricing and capacity for terrorism reinsurance coverage available in the market as well as issues involving the integration of terrorism coverage into private reinsurance programs and in standalone structures.

The Terror Risk Specialty identifies coverage that can be included within existing placements and is well positioned to structure and secure the best and largest amount of available terrorism reinsurance capacity for our clients. Our specialists can also help answer clients' questions regarding coverage provided by the U.S. Terrorism Risk Insurance Act (TRIA).

We utilize a comprehensive suite of tools to perform aggregation studies, analyze clustering and help clients quantify their terror exposures by lines of business. Our use of all the major catastrophe software vendors' terrorism models helps clients explore the possibilities of terror loss using a judgment-based approach that goes beyond purely deterministic modeling and minimizes the issues associated with predicting human behavior. In addition, our proprietary pricing model, Terror ROLePlay, helps our clients effectively estimate the pricing for any variation of certified terrorism protection.

Global Terror Insurance Market – The World Continues on High Alert

In this June 2007 report, we provide a detailed overview of the state of terror insurance cover globally, highlighting recent developments in the United States, Belgium, France and the Netherlands. The survey encompasses information from six continents and 34 countries.