Terrorism Insurance

In addition to the risk of natural disasters, the insurance industry faces the threat of terrorist attacks. Losses stemming from the destruction of the World Trade Center and other buildings by terrorists on September 11, 2001 totaled about $32.5 billion, including commercial liability and group life insurance claims—not adjusted for inflation—or $35.9 billion in 2005 dollars. About two thirds of these losses were paid for by reinsurers, companies that provide insurance for insurers.

The full story can be viewed here:
http://www.iii.org/media/hottopics/insurance/terrorism/
http://www.iii.org/media/hottopics/insurance/sept11/tria/