New insurance product provides hospitality industry with business disruption coverage in case of Anthrax-related terrorism
West Chester, PA, February 11, 2003 – Venture Programs, Inc. today introduced a new type of business insurance coverage that protects against the loss of income due to terrorist-related Anthrax attack and other airborne diseases. The Airborne Disease Coverage supplements actual loss of income sustained as a result of closure of an insured hospitality business by order of the State Health Authority or the Center for Disease Control (CDC) due to Anthrax, Legionnaire’s Disease or Radon Gas.
Venture Programs is first introducing the product within the country club and golf industries through its Preferred Club Program with plans to extend coverage throughout the entire hospitality industry as part of its Venture’s Preferred Hospitality Program.
“Currently, loss of income due to airborne disease is specifically excluded from every business income policy, including coverage from carriers offering new terrorism related insurance,” says Philip J. Harvey, managing director of Venture Programs. “This product represents the first opportunity for companies and the insurance brokers they rely upon to protect the ongoing viability of a business, at a time of increasing risk throughout the world.”
The still-unsolved October 2001 Anthrax attacks on the U.S. Senate and major media companies underscore the virulence of Anthrax and its potential as a weapon of mass disruption. In testimony before the U.S. Senate, Post Master General John Potter estimated that Anthrax had cost the U.S. Postal Service billions of dollars in lost trade.
“For businesses, even a fraction of such a loss would prove devastating, translating into a tremendous financial risk that can now be managed, planned and secured with this first-of-a-kind coverage, ” says David F. Callaghan, Program Manager. The Airborne Disease Coverage is available on a non-admitted basis in all states except Illinois where coverage is written on an admitted basis.
About Venture Programs, Inc.
Venture Programs, Inc. is a world leader in the design and deployment of specialty industry-focused insurance products. Based in West Chester, PA, Venture Programs partners with the world’s leading carrier groups, including Alea, Chubb, Hartford, USLI and Hiscox Syndicate 33 at Lloyd’s of London.
Founded in 1993, Venture Programs’ “Preferred” programs provide specialty insurance offerings for a range of vertical industries-including golf and country clubs, life science businesses, technology companies and hospitality firms-to better manage risk through insurance. The Company has recently launched VIP Defender, which provides protection against third-party suits of alleged Intellectual Property infringement, as part of its Venture Intellectual Property division.Capgemini, Efma, InsurTech, World Insurance Report