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Buffett's insurance business took a $2.4 billion underwriting loss from the 9/11/2001 terrorist attacks. The insurance industry as a whole paid $33 billion in c
by zeddie 13y ago
Buffett's insurance business took a $2.4 billion underwriting loss from the 9/11/2001 terrorist attacks. The insurance industry as a whole paid $33 billion in claims (in 2001 dollars).
- gergles 13y agoWhich is why acts of 'terrorism' are no longer covered under almost any insurance policy unless you pay through the nose for an additional rider.
- zeddie 13y agoRight, you probably wouldn't get terrorism coverage as part of your homeowner's policy. However, terrorism insurance is big business! Berkshire Hathaway has extended coverage to airlines, the World Cup, the Sears Tower, etc.
- Spooky23 13y agoThat's because terrorism wasn't specifically defined as an "act of war" for general risk policies under the underwriting standards of the time. (although anything nuke has been excluded for many years) War requires a nation-state actor. Terrorism is a broader concept.