Search
 

Piracy trends prove need for K&R protection

The piracy incident should alert insurance agents and brokers to the larger and growing risks of kidnapping and ransom (K&R) and extortion

By Chris Beck | Updated on May 12, 2009

Piracy trends highlight need for K&R protection

In mid-April, the pirate attack on an American ship off the coast of Somalia focused the world on the perils of maritime shipping. While the crew of the Maersk Alabamaapparently never lost control of the ship, their captain was captured and they were forced to alter their merchant voyage of delivering aid supplies to Kenya. The Times of London reported the brigands’ ransom demand at $3 million–but the U.S. military killed three of the attackers and freed the captain before demands could be carried out.

The piracy incident should alert insurance agents and brokers to the larger and growing risks of kidnapping and ransom (K&R) and extortion. These problems aren’t exclusive to shipping crews and shipping companies in the Indian Ocean. Even Americans who don’t travel the high seas are targets. K&R presents worldwide threats to multinational businesses, relief aid organizations, non-government organizations, educational institutions, and even charities and church missionary groups. What’s worse, kidnapping personally threatens the freedom and health of individual employees of these organizations.

Want to continue reading?
Become a Free
PropertyCasualty360 Digital Reader.

INCLUDED IN A DIGITAL MEMBERSHIP:

  • All PropertyCasualty360.com news coverage, best practices, and in-depth analysis.
  • Educational webcasts, resources from industry leaders, and informative newsletters.
  • Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com.

Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Recommended Stories

PropertyCasualty360

Join PropertyCasualty360

Don’t miss crucial news and insights you need to make informed decisions for your P&C insurance business. Join PropertyCasualty360.com now!

  • Unlimited access to PropertyCasualty360.com - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including BenefitsPRO.com, ThinkAdvisor.com and Law.com
  • Exclusive discounts on PropertyCasualty360, National Underwriter, Claims and ALM events

Already have an account? Sign In Now
Join PropertyCasualty360

Copyright © 2024 ALM Global, LLC. All Rights Reserved.