- The True Impact of Terrorism on Businesses
The True Impact of Terrorism on Businesses
Latest Update to the UK Terrorism Threat
The threat of terrorism to the UK has changed over the last few years. Since Islamic State (IS) lost their primary territory, Whitehall officials believe that the organisation has lost most of its appeal (BBC, 2019). Most of the threats we faced half a decade ago stemmed from the IS group. Five years later, the threat of far-right extremism and dissident Irish Republicans is rising, and as a result, the threat landscape in the UK becomes ever-more complex.
Terror Attacks on the Rise
According to Home Secretary Sajid Javid, Over the last two years, there have been 19 major terror attacks which have been foiled by UK security services (Sky News, 2019). This shows the growing nature of terror attacks and almost normalisation of the threat. We’re slowly becoming accustomed to learning of terror attacks across the globe through modern news publications and online. This is an alarming and worrying trend that showcases the real risk posed to businesses, but there are ways to alleviate the implications of a terror attack.
What’s the Impact of Terrorism on Businesses?
Whilst there’s the obvious impact of terror attacks on businesses in the form of the cost, damage and impact to footfall or ability to trade. There’s also a massive impact to businesses when police implement cordons and exclusion zones which will clearly hinder access to both staff and customers.
Common Limitations to Be Aware Of
Some businesses have discovered that their terrorism insurance doesn’t provide cover unless there’s physical damage to their own or surrounding property. This is where business interruption should be included to ensure that ‘Denial of Access’ and ‘Loss of Attraction’ are covered by acts of terrorism that don’t necessarily lead to physical damage.
Options to Extend Coverage
There are also options to extend the level of coverage to include property damage caused during the containment, control or suppression of an act of terrorism. It’s important to understand how your business and property insurance is structured to ensure you have a solid understanding of your risks and coverage.
How to Protect Your Business from Terror Threats?
The specialist team at Inspire Insurance are experts in securing Insurance coverage across a wide variety of niche areas including Terrorism Insurance. There are benefits to a standalone Terrorism Insurance policy including the ability to manage multiple locations and overseas exposures. Get in touch with our expert team today on 02476 998924 for advice around how to manage your risk and tailored solutions to help mitigate the risk of terror-related disruption.