Government Industry
Exposing Your Achilles Heel
Air Safety Week, Oct 31, 2005
This does not affect airlines in the U.S., where the government committed itself to providing insurance coverage for uninsurable aviation risks after the Sept. 11, 2001, terrorist attacks. But in Europe, insurers are apparently looking to withdraw coverage for attacks on civil aircraft using chemical, biological or radioactive weapons. The move would leave European airlines without coverage for so-called "dirty bombs."
British Airways (BA) said it is talking to insurers about the issue. In a statement, BA said, "We are aware that some insurers have withdrawn some aspects of their insurance cover in relation to radiological, chemical or biological attacks.
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A spokesman for Scandinavian Airlines System (SAS) said, "If the market is not willing or able to insure those kinds of damages, we are back to the situation we had in 2001 when practically all the European governments acted as insurers."
This whole discussion could come under the heading of incitement to terrorism, as it indicates to the enemy the worst fears of the insurers, as evidenced by what they are not willing to provide coverage for.
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