Kidnap-Ransom Insurance

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Kidnap-Ransom Insurance

An insurance policy providing coverage in the event that one is kidnapped and a ransom is demanded. For example, if a high level executive is kidnapped while visiting a branch office in a high risk area, a company that carries kidnap-ransom insurance on that executive will be reimbursed for the amount it spends providing ransom for him/her to the kidnappers. As with all insurance, one must pay a premium to receive the coverage.
References in periodicals archive ?
We apparently cross four time zones and about 14 war zones and, on top of the usual travel costs, a fellow Well fan on the club messageboard has advised taking out kidnap insurance.
Meanwhile, Richard Scurrell, divisional director of Special Contingency Risks, which specializes in kidnap insurance, said that countries that did not previously have an endemic kidnap problem are developing one.
As a kidnap insurance practice leader with 12 years of experience as a kidnap negotiator with Control Risks Group, and having been involved in hundreds of kidnap negotiations as either a case manager, underwriter or primary negotiator, I have no personal knowledge of an insurgent group, as you say, "now aware of the prevalence of K&R insurance.
Kidnap insurance is growing in demand, especially among firms who send employees to places like Russia, Central and South America, Africa and the Middle East.
Purchase kidnap insurance, but do much more -- A number of insurance companies in the U.
For kidnap insurance claims to be valid, the policy holders must retain a bodyguard.
Aside from ransom, which can ultimately be any figure, here are some costs that can be covered by kidnap insurance.
He said: "The kidnap insurance covers the cost of negotiating with terrorists and the ransom if it's to be paid but the rest is confidential.
For that reason, risk managers should investigate the use of a kidnap insurance policy for both the financial coverage it offers and the consultant expertise that it provides.
Because of these limitations, risk managers may wish to look into the use of kidnap insurance.
Modern kidnap insurance began shortly after Charles and Anne Morrow Lindbergh's baby was kidnapped by Bruno Hauptmann in 1932.
Due to their expertise in dealing with kidnapping cases, these consultant organizations are the most essential component of the kidnap insurance policy.