Terrorism insurance may cover liability claims against your business associated with a terrorist attack. If you carry Inland Marine coverage protecting your business personal property, terrorism insurance covers losses to that property sustained due to a terrorist attack.
Losses are only covered by a terrorism insurance policy if the U.S. Department of the Treasury officially certifies an event as an act of terrorism. This requires that the act be violent and be driven by the desire of an individual or individuals to coerce U.S. civilians or government. No act shall be certified by the Secretary as an act of terrorism if property and casualty losses, in the aggregate, do not exceed $5 million. The act must also cause at least $100 million in damage to be considered a terrorist attack.
The definition of a certified act of terrorism has been expanded to cover both domestic and foreign acts of terrorism.
Terrorism coverage can be added to your MPEP policy for $100.