Event Terrorism Insurance

29.05.18 08:15 AM By Stuart Hartley

The Security Intelligence Service (SIS) stated in it's 2006 report that "the risk of a terrorist attack on New Zealand or New Zealand interests is low", but also warned against complacency.  Since then, a leaked executive memo from the New Zealand Defence Force warned a terror attack on home soil is "not a matter of if, but when".


With New Zealand forging its way on the world events stage, what terrorism risk (if any) is there to our own domestic events and is there a need for terrorism insurance?


The definition of terrorism is "an unlawful act, including but not limited to the use of force or violence, of any person or group(s) of persons, whether acting alone or on behalf of or in connection with any organisation(s) or government(s), committed for political, religious, ideological or similar purposes including the intention to influence any government and/or to put the public, or any section of the public, in fear"


Terrorism insurance is an optional addition to a standard event cancellation policy and not only covers an attack at the venue itself, but can also cover a global terrorist attack that specifically affects your event.  Cover can also include the "threat" of terrorism, whereby, information received by local or national governmental authorities relating to terrorism that poses or appears to pose a real risk of physical loss or damage or actual bodily injury or death if the event were to proceed, whether or not such risk subsequently proves to have been real or hoax.  Insurance can be provided to protect income or expenses and cover will depend on where you are based and where the event is taking place.


Fear of terrorism, or disinclination to attend an event due to a terrorist act cannot be covered as this is impossible to define with fear meaning different things to different people.





Stuart Hartley