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Section 5: OFFER OF TERRORISM COVERAGE DISCLOSURE OF PREMIUM & FEDERAL PARTICIPATION
The Terrorism Risk Insurance Act of 2002 establishes a program within the Department of the Treasury, under which the federal government shares, with the insurance industry, the risk of loss from future terrorist attacks. The Act applies when the Secretary of the Treasury certifies that an event meets the definition of an act of terrorism. The Act provides that, to be certified, an act of terrorism must cause losses of at least five million dollars and must have been committed by an individual or individuals acting on behalf of any foreign person or foreign interest to coerce the government or population of the United States.
In accordance with the Terrorism Risk Insurance Act of 2002, we are required to offer you coverage for losses resulting from an act of terrorism that is certified under the federal program as an act of terrorism committed by an individual(s) acting on behalf of a foreign person or foreign interest. The policy's other provisions will still apply to such an act. You may accept or reject this offer.
You may choose to reject the offer by signing the enclosed statement and returning it to us, and your policy will be written to exclude the
By checking this box, I hereby reject the offer of terrorism coverage. I understand that an exclusion of certain terrorism losses will be made part of this policy..
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