War Risk

War Risk

The likelihood that a person or property will be injured, killed or destroyed in an act of war. For example, if an employee is transporting goods in a truck to a customer, war risk is the possibility he/she may drive over a landmine, killing himself/herself and destroying the goods. War risk is a type of political risk and is often excluded from insurance policies.
References in periodicals archive ?
Contract notice: excess war risk liability insurance for paris airports and the first dollar for security providers
The Hong Kong China War Risk Syndicate (HKCWRS), a new marine insurance facility, was launched today (November 20) with the aim of protecting Chinese and Asian ship owners from the risks of war and related perils such as piracy.
such incidents have driven up claims on the war risk category, which covers physical damage to planes from hostile acts, to $600 million in just the last five months, The New York Times recently reported.
As the commercial aviation sector approaches its busiest renewal period, insurance rates are set to increase - with the war risk portion jumping by up to 300% - following a series of major losses, including the Malaysia Airlines flight shot down over strife-torn Ukraine.
Insurers are expected to hike war risk premiums for airlines following losses due to global conflicts, including the downing of a Malaysia airplane over Ukraine, insurance rating agency A.
Arun Kumar, Assistant General Manager at UAE-based Alliance Insurance told Gulf News that war risk insurance is calculated on the nature of aircraft involved, seating capacity, pilot and management history and the geographical area of the destination.
Pro-Iran Maliki and Syria war risk fracturing Iraq Iraqi Premier Nouri al-Maliki's drive to sideline the country's Arab Sunnites, his harassment of ethnic Kurds in autonomous Kurdistan, his subservience to Iran and his support of the Syrian regime risk fragmenting Iraq and embroiling Jordan.
669 billion in fiscal year 2001-02 and the calculation was based on the assumption that the war in Afghanistan that begun on October 7, 2001, will end by December 2001, normalcy will resume from January 2002, the Taliban government will be ousted and some low intensity fight will continue, but life in Pakistan will remain normal; and the additional increase in freight cargo and war risk premium will be removed.
In 2005, however, marine underwriters in London began a transition from covering piracy under hull policies to covering it under separate war risk policies.
GAC Protective Solutions is designed to support vessel Masters to navigate safely through this war risk zone, as determined by Lloyds of London.
In addition to proposals for military deterrence and diplomatic engagements, policymakers may elect to consider adjustments to the federal statute (Title XII of the Merchant Marine Act of 1936, as amended) that authorizes the federal government to underwrite marine war risk insurance in circumstances such as piracy.