Does you insurance cover terrorist attacks?

With uncertain times like these when both life and establishments are under threat of a terror attack, members of the general public should ensure that they have the relevant insurance cover, reports Sandeep Singh.

With uncertain times like these when both life and establishments are under threat of a terror attack, members of the general public should ensure that they have the relevant insurance cover.

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Any loss of life due to terror strike is covered under life insurance scheme with add on feature of accidental cover.

Optima Insurance, a brokerage, is offering free terror insurance cover of Rs 1 lakh to first one lakh people through its website — click2insure.com. “We started offering the cover after the Jaipur blast in May this year and till now 25,000 people have taken the cover,” said Rahul Aggarwal, ceo, Optima Insurance brokers. There are plans to offer insurance with higher cover. “We plan to offer terror insurance cover of up to Rs 5 lakh for a premium of Rs 100 per annum,” said Aggarwal.

Any commercial establishment is covered with an adequate add on for terrorism.

As per Insurance Regulatory Developmental Authority norms, all the premia seeking cover linked to terrorist attacks are collected in a common pool and any terrorism related claims are settled using this pool.