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Kidnap and extortion are a very real and growing threat
in today’s world. As many as 12,500 kidnaps are reported each year in over 40 countries, mainly in Latin America, Russia and Asia, with the average ransom payment doubling in the last four years and some payment demands exceeding USD 50 million. Whilst the most vulnerable companies are those that have employees based or travelling overseas; organisations which have high profiles, handle large amounts of cash, or work with sensitive information or technologies can be attacked as well.
AIG’s Corporate Kidnap and Ransom/Extortion Insurance not only protects against financial loss but also provides the services of Clayton Consulting, leading crisis management and security consultants, to manage incidents on the policyholder’s
behalf.
Cover
Kidnap / Alleged kidnap
A seizure or detention of an insured person for the purpose
of demanding ransom moneys.
Extortion
Payment demands following a threat to injure, or kill
an Insured Person; damage property; contaminate products;
divulge trade secrets or destroy electronic data by
computer virus.
Wrongful Detention
Involuntary confinement by a government entity or insurgent
organisation.
Hijack
Illegal holding under duress of an Insured Person while
travelling on any aircraft, motor vehicle or waterborne
vessel.
Cover includes
- Ransom Monies
- Loss in-transit of payment
- Related expenses: salary, personal financial loss,
medical costs, rest & rehabilitation, travel & accommodation,
loan interest, reward, interpreter, forensic analysis,
other reasonable & necessary expenses, recall expenses,
business interruption etc.
- Consultant Costs
- Judgement, settlements and defence costs
- Death or Dismemberment arising from a covered incident
- 24 hour emergency response help line
Cover options
- Evacuation and repatriation
- Child abduction
Client Profile
- Any company with employees either travelling to,
or based in, overseas countries, particularly Latin
America, Asia, Eastern Europe and Africa.
- Cash rich or high profile companies operating in
Europe or overseas.
- Manufacturers or retailers of consumer goods.
Underwriting considerations
A variety of factors will be considered when evaluating
insurability and determining premium, including:
- Type of industry
- Revenue of the Insured
- Country of residence
- Travel patterns of employees
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Issue
2 | November 2006