A Specialty Coverage Whose Time Has Come

A new product, variously referred to as “active assailant insurance” or “active shooter insurance,” has entered the marketplace. An article in Insurance Journal describes the coverage as “holistic,” but is also breaks it down into three specific components: people protection, balance sheet protection, and reputation protection. People protection will typically include access to a variety of response consultants, from law enforcement liaison coordinators to media messaging consultants and counselors. It also likely includes training and “hardening.”

Balance sheet protection is essentially a variation on business interruption insurance, along with coverage for what’s described as “loss of attraction.” It also includes coverage for litigation costs, which may not fall under a general liability policy in this circumstance. Reputation protection includes coverage for access to public relations firms and “brand rehabilitation experts.”